VanGold Mining Corp.
VanGold Mining is a company engaged in the exploration and development of mineral projects in the Guanajuato region of central Mexico. The Company's flagship El Pinguico silver and gold project is a significant past producer of high-grade silver and gold and is located just seven kilometres south of the city of Guanajuato, Mexico. The Company remains focused on the near-term potential for development and monetization of both its surface and underground stockpiles of mineralized material located at El Pinguico.
El Pinguico Silver and Gold Project, Mexico
The El Pinguico Project is located 7 kilometres southeast of Guanajuato city, in the State of Guanajuato, Mexico. Easy road access can be gained from Guanajuato. The property consists of two mining concessions totalling 71 hectares.
El Pinguico is a high-grade gold and silver deposit that was mined from the early 1890s until the Mexican revolution in 1913. The mining was done exclusively from the El Pinguico and El Carmen veins, which are thought to be splays off the Veta Madre (Mother Vein).
The Veta Madre is a regional fault structure that outcrops for 25 kilometres, and is the most important source of precious metal mineralization in the region, responsible for +/-1.2 billion ounces of historical silver production. The Veta Madre may cross VanGold’s property at depth, beneath the high grade El Pinguico and El Carmen veins.
Very limited drilling has been done on the property and NO DRILLING has ever attempted to encounter the Veta Madre at depth.
Remnants of past production are easily seen on the property from the days it was operated by NYSE listed “Pinguico Mines Company” until the beginning of the Mexican Revolution.
Today, the historic El Pinguico mine is in close proximity to several active, modern mining operations including Endeavour Silver’s El Cubo and Bolanitos mines and mill complexes; Fresnillo PLC’s Las Torres mine and mill operation, and Great Panther Mining’s Guanajuato mine complex which includes the San Ignacio mine. All of these operations lie between 2 and 28 km from VanGold’s principal project.
The Company is actively engaged with three separate initiatives: processing a substantial bulk sample through a local mill, making accessible an additional 30 meters of vertical distance at the bottom of the El Pinguico shaft, and developing a comprehensive drill plan to be initiated in late summer/early fall.
On May 15, 2020, VanGold Mining Corp. announced that it had entered into an agreement with Endeavour Silver Corp. to process 1,000 tonnes of mineralized material from the El Pinguico project. Historic stockpiles of mineralized material exist on surface and underground at El Pinguico which may potentially provide feed to one of several operational mills in the Guanajuato area. Recently, VanGold has sent a 1,000 tonne bulk sample to Endeavour Silver’s Bolanitos mill, located 28km from El Pinguico. This test has provided evidence that sending material from El Pinguico to one of several local mills may work commercially.
By conducting this large test, the Company gained valuable metallurgical and precious metal recovery information pertaining to the mineralized material on the El Pinguico property. As well, the Company gathered critical economic data regarding the potential for direct shipping this material from El Pinguico to one of several operating mills in the Guanajuato area.
This bulk sample was sent to Endeavour's Bolanitos mill, located approximately 28 kilometres from El Pinguico.
Defining Drill Targets:
VanGold continues to compile all relevant historical and contemporary geological data from the El Pinguico project. Drill targets established in the Company’s 2017 NI 43-101 report are being augmented with drill targets that could be accessed using underground drilling equipment. In this way, the Company plans to target extensions of historically mined vein material from existing underground workings, in order to lessen the drilling distance needed to intercept those targets and thereby reduce drilling costs.
The Company also plans to assess regional information pertaining to the angle of dip associated with the Veta Madre (or Mother Vein). The Company plans to drill test the presumptive intersection of the El Pinguico vein systems and the Veta Madre, at approximately 500m in depth, this fall.
Management and Directors
James Anderson, Chairman & CEO
Mr. Anderson serves on the Board of Directors of NuLegacy Gold Corporation after serving as its CEO for 7 years. Mr. Anderson also serves on the BOD of Orestone Mining Ltd. Mr. Anderson's career in the financial industry began with a successful 19 years as a retail broker, investment banker, and manager with several Canadian investment firms. These included First Canada Capital Ltd., Research Capital Corp., and Majendie Securities Ltd. A graduate of the University of Alberta, he was instrumental in the financing of numerous small-cap public companies, especially in the mining exploration and development industry.
Xavier Wenzel, CFO
Mr. Wenzel is a Chartered Professional Accountant with more than 20 years of public accounting experience.
Daniel Oliver, Director
Mr. Oliver manages Myrmikan Capital LLC, and also serves as President of the Committee for Monetary Research & Education.
Richard Silas, Director
Mr. Silas is corporate secretary and past President and Director of Barksdale Capital Corp. Mr. Silas has over 20 years of experience in corporate governance, regulatory compliance, and administration of junior resource companies.
Hernan Dorado Smith, Director
Mr. Smith is a 5th generation mining engineer and possesses 15 years of underground and open pit mining experience. He has in-depth knowledge of the El Pinguico mine in Guanajuato, Mexico.
William Gehlen, Director
Mr. Gehlen currently serves as Manager of Corporate Development for Gold Standard Ventures Corp.
Stuart “Tookie” Angus
On August 06, 2020, Vangold Mining Corp. announced that it has closed the first tranche of its non-brokered private placement of up to 24.5 million units at a price of 15.5 cents per unit for gross proceeds of $3,797,500 announced on July 21 and July 22, 2020. The Company anticipates closing a second and final tranche of the Financing on or about August 11, 2020, which may include an increase in the overall Financing to 25,645,000 Units for gross proceeds of up to $3,975,000 based on demand.
On July 02, 2020, Vangold Mining Corp. has concluded its warrant acceleration bonus program announced May 27, 2020, and June 12, 2020, for share purchase warrants granted in connection with the company's 2019 non-brokered private placement financing.
In total, 17,159,500 warrants were exercised under the bonus program for 17,159,500 common shares at a price of 10 cents per share for gross proceeds of $1,715,950 of which directors and officers of the company exercised a total of 6.5 million warrants for net proceeds of $650,000 representing approximately 37.9 per cent of the total warrants exercised.
On June 24, 2020, VanGold Mining Corp. announced that it plans to begin clearing approximately 30 metres of debris from the bottom of the El Pinguico shaft at its El Pinguico silver and gold project in Mexico in mid-July. The Company anticipates that once crews begin this work that it will require approximately three weeks to clear the shaft down to the No. 7 or Sangria adit level.
On June 12, 2020, VanGold Mining Corp. has provided an update on its warrant acceleration bonus program announced May 27, 2020, for share purchase warrants granted in connection with the Company's 2019 non-brokered private placement financing.
To date, 11,649,500 warrants have been exercised under the bonus program for 11,649,500 common shares at a price of 10 cents per share for gross proceeds of $1,164,950, of which directors and officers of the Company have exercised a total of 6.5 million warrants for net proceeds of $650,000, and amounting to approximately 55.8 per cent of the warrants exercised thus far.
On June 9, 2020, VanGold Mining Corp. has released results from its 1,039-tonne bulk sample and metallurgical test of material from its El Pinguico silver and gold project in Mexico.
The material used for this test came exclusively from the Company's surface stockpile of waste material, which was left behind when mining ceased at El Pinguico in 1913. The material has been exposed to the elements since that time and was therefore somewhat oxidized. Despite this, recoveries of gold and silver were very good, and may point to better recoveries in the future from less oxidized material located within the mine itself.