Parral Tailings
Hidalgo del Parral, Chihuahua, Mexico
Low Cost Silver Producer with Increasing Production
Properties
Overview
GoGold's Parral operation is an agglomerated heap leach facility which is processing historic tailings which are located in the city of Parral. The tailings are loaded and trucked approximately 11km out of the city, agglomerated, and stacked on a heap leach pad where a solution is applied, and the pregnant solution is processed through a Merril Crowe facility which produces saleable silver, gold, and copper at a low cost. In addition to producing silver and gold at a low cost, the land currently occupied by the tailings are remediated and reclaimed for the city of Parral.
Background & Reserve
The 141 hectare Parral Tailings site is host to 21.3 million tonnes of tailings left over from 340 years of mining operations. Located near the heart of the city, the tailings have become a nuisance to residents and an impediment to development. Fortunately, inefficient historic recovery processes left significant amounts of silver and gold in the tailings. In 2012, GoGold Resources Inc. acquired the rights to the Parral Tailings Project. GoGold's 2013 pre-feasiblity study defined a reserve of 35 million ounces of silver equivalent (20.3Mt @ 38.4 g/t Ag and 0.31 g/t Au)*. GoGold's heap leach facility was financed and built within 18 months and production began in June 2014.
Technical Report - Resource (May 2013) Technical Report - Pre-Feasability Study (Feb 2013)
The remaining proven & probable reserves were updated effective July 28, 2020. See news release dated July 29, 2020 for details. Following is the Mineral Reserve estimate:
Proven & Probable Mineral Reserves – Parral
| Category | Tonnes | Average Grade | Contained Metal | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Au | Ag | AuEq | AgEq | Au | Ag | AuEq | AgEq | ||
| (Mt) | (g/t) | (g/t) | (g/t) | (g/t) | (koz) | (koz) | (koz) | (koz) | |
| Proven | 8.7 | 0.34 | 32.4 | 0.71 | 62 | 95 | 9,088 | 199 | 17,480 |
| Probable | 6.7 | 0.35 | 34.8 | 0.74 | 66 | 75 | 7,483 | 159 | 14,106 |
| Total | 15.4 | 0.34 | 33.4 | 0.72 | 64 | 171 | 16,570 | 358 | 31,585 |
- Mineral Reserves have demonstrated economic viability. The estimate of Mineral Reserves may be materially affected by environmental, permitting, legal, title, taxation, sociopolitical, marketing or other relevant issues.
- The Mineral Reserves in this press release were estimated in accordance with the Canadian Institute of Mining, Metallurgy and Petroleum (CIM), CIM Standards on Mineral Resources and Reserves, Definitions and Guidelines prepared by the CIM Standing Committee on Reserve Definitions and adopted by the CIM Council.
- The Mineral Reserve in this estimate are based on US$1,400/oz Au, US$16/oz Ag, operating costs of US$9.95/t and Au and Ag process recoveries of 65% resulting in a AuEq cut-off grade of 0.34g/t, calculated at an Ag/Au ratio of 87.5:1.
Location and Infrastructure
The Project is within the town limits of Hidalgo del Parral, in the State of Chihuahua, Mexico. The town has a population of approximately 100,000 and can be easily accessed on a well‐maintained paved highway from the city of Chihuahua. There is also an air strip at Parral which can accommodate light aircraft. Parral is situated at an elevation of approximately 1620 m and has an altitude‐moderated semi‐arid climate.
Parral and the surrounding area is well serviced with numerous hotels, restaurants and other services and has a long tradition of mining. There is an ample supply of skilled personnel, equipment suppliers and contractors sufficient for the Project. Potential for electrical power is available from the local grid and water is available from the local water commission. Telephone and cell coverage are excellent as is access to high‐speed Internet.
Esmerelda Tailings
In February 2015, GoGold acquired the Esmerelda tailings property containing 5.77 million tonnes at 49 g/t silver and 0.26 g/t gold for an estimated 13.3 million silver equivalent ounces. Material from Esmedelda is expected to be processed at GoGold's existing Parral heap leach facility.
The technical report on the Esmerelda tailings is available below.
The remaining proven & probable reserves were updated effective July 28, 2020. See news release dated July 29, 2020 for details. Following is the Mineral Reserve estimate:
Mineral Resource Estimate – Esmerelda
| Category | Area | Tonnes | Average Grade | Contained Metal | ||||
|---|---|---|---|---|---|---|---|---|
| Au | Ag | AgEq | Au | Ag | AgEq | |||
| (Mt) | (g/t) | (g/t) | (g/t) | (koz) | (koz) | (koz) | ||
| Measured | Upper | 3.07 | 0.24 | 64 | 85 | 23.5 | 6,339 | 8,395 |
| Lower | 2.60 | 0.29 | 32 | 57 | 24.6 | 2,646 | 4,799 | |
| Total | 5.67 | 0.26 | 49 | 72 | 48.1 | 8,985 | 13,194 | |
| Indicated | Upper | 0.01 | 0.18 | 62 | 78 | - | 12 | 14 |
| Lower | 0.05 | 0.22 | 46 | 65 | 0.3 | 68 | 97 | |
| Total | 0.05 | 0.00 | 48 | 67 | 0.3 | 80 | 112 | |
| Measured & Indicated | Total | 5.72 | 0.26 | 49 | 72 | 48.4 | 9,065 | 13,305 |
- Mineral Resources which are not Mineral Reserves do not have demonstrated economic viability. The estimate of Mineral Resources may be materially affected by environmental, permitting, legal, title, taxation, sociopolitical, marketing or other relevant issues.
- The Mineral Resources in this press release were estimated in accordance with the Canadian Institute of Mining, Metallurgy and Petroleum (CIM), CIM Standards on Mineral Resources and Reserves, Definitions and Guidelines prepared by the CIM Standing Committee on Reserve Definitions and adopted by the CIM Council.
- The Mineral Resource in this estimate are based on US$1,400/oz Au, US$16/oz Ag, operating costs of US$10.14/t and Au and Ag process recoveries of 50% resulting in a AgEq cut-off grade of 41 g/t, calculated at an Ag/Au ratio of 87.5:1.
Qualified Persons
Mr. Robert Harris, P. Eng, who is a qualified person as defined by National Instrument 43-101, Standard of Disclosure for Mineral Projects, is responsible for, and has reviewed and approved, the scientific and technical information contained on this website pertaining to Parral.
© 2024 GoGold Resources Inc.|TSX:GGD, OTCQX:GLGDF|Disclaimer
Disclaimer: This GoGold Resources Inc. ("GoGold") website may include certain information that may be deemed “forward-looking information”. All statements other than statements of historical fact, included on this website, including, without limitation, statements regarding the Parral tailings project, the Los Ricos project, future operating margins, future production and processing, and future plans and objectives of GoGold, constitute forward looking information that involve various risks and uncertainties. Forward-looking information is based on a number of factors and assumptions which have been used to develop such information but which may prove to be incorrect, including, but not limited to, assumptions in connection with the continuance of GoGold and its subsidiaries as a going concern, general economic and market conditions, mineral prices, the accuracy of mineral resource estimates, and the performance of the Parral project There can be no assurance that such information will prove to be accurate and actual results and future events could differ materially from those anticipated in such forward-looking information.
Important factors that could cause actual results to differ materially from GoGold's expectations include exploration and development risks associated with GoGold’s projects, the failure to establish estimated mineral resources or mineral reserves, volatility of commodity prices, variations of recovery rates, and global economic conditions. For additional information with respect to risk factors applicable to GoGold, reference should be made to GoGold's continuous disclosure materials filed from time to time with securities regulators, including, but not limited to, GoGold's Annual Information Form.
Mr. Robert Harris, P. Eng, who is a qualified person as defined by National Instrument 43-101, Standard of Disclosure for Mineral Projects, is responsible for, and has reviewed and approved, the scientific and technical information contained on this website pertaining to Parral.
Mr. David Duncan, P. Geo. who is a qualified person as defined by National Instrument 43-101, Standard of Disclosure for Mineral Projects, is responsible for, and has reviewed and approved, the scientific and technical information contained on this website pertaining to Los Ricos.