VanGold Mining Corp. changed its name to Guanajuato Silver Company Ltd. and its trading symbol from VGLD to GSVR on J,une 3 2021. According to the company’s management, the name change was done to illustrate the company's operations in the Mexican region and the primary metal that the company is soon going to produce.
The company’s shares are listed on the OTCQX market under the symbol GSVRF. It is an exploration and development entity that reactivates past-producing silver and gold properties near the city of Guanajuato in Mexico. To the south of Guanajuato, the company owns El Pinguico project, which is a significant past producer of both silver and gold.
The exploration company is also focused on refurbishing the El Cubo mill and slowly commencing production from the El Cubo and El Pinguico operations and defining additional gold and silver resources through underground and surface drilling on its 480-year-old mining camp.
Guanajuato Silver recently purchased the El Cubo mine from Endeavour Silver and is currently focusing on preparing it for production by the fourth quarter of the year 2021. The exploration entity bought the El Cubo project for US$15 million in April 2021.
Its other substantial project the El Pinguico is located eight kilometers from the El Cubo project and is supposed to contribute to the availability of mineralized material for the El Cubo mill. The El Cubo complex has had significant historical value since the 17th century.
It lies in the Sierra structure adjacent to the Peregrina mine responsible for a huge amount of gold and silver produced in the Guanajuato district. At El Cubo, the gold mining was conducted from the shallow pits near the San Eusebio vein.
Reportedly, the current capacity of the El Cubo complex is 1,500 tons/day and it includes two underground gold-silver mining claims and a floatation plant. Guanajuato Silver reports that it will employ around 150 people and 250 contractors on this project once the operations resume in the fourth quarter of 2021.
The El Cubo mine has an indicated resource of 508,000 tons with an average grade of 329 g/t silver equivalent and 1,453,000 tons inferred resource with an average gold equivalent of 435 g/t which will be ready for development and mining in October or December 2021.
The Pinguico mine owned by Guanajuato Silver has its roots in the 1960’s when it was discovered by a merger of two mining companies, a British company and an American company. The company, reportedly, is a leading claimholder in the district with more than 7,000 hectares of prospective mining claims.