Chile zinc/silver project acquisition ‘timely’, says Golden Rim
JOHANNESBURG (miningweekly.com) – Australia’s Golden Rim has completed the $2.29-million acquisition of the Paguanta zinc/silver/lead project, in northern Chile, where the company will start work shortly.
Golden Rim, which bought 70% of the project from Herencia Resources, believes the acquisition is timely, as fundamentals for zinc are strong, based on demand for the metal outstripping supply.
Zinc and silver – which account for the bulk of the metal value at Paguanta – have been two of the top performing commodities thus far in 2016, with the price of zinc increasing by 44% and the price of silver advancing by 41%.
Citing an analyst from ICBC Standard Bank, Golden Rim said in a statement on Thursday that refined zinc could be in a deficit of 550 000 t this year and 660 000 t in 2017, owing to mine closures and supply curtailments.
Golden Rim added that it was also well positioned to capitalise on the revival of the precious metals markets, given the high-grade silver component at the newly acquired mine.
Paguanta comprises 14 exploitation concessions covering 3 900 ha and eight concessions covering 2 100 ha. Since late 20015, about 40 000 m of drilling, at a cost of $31.5-million, has been undertaken at Paguanta.
The Patrica prospect at Paguanta hosts mineral resources of 4.4-million tonnes at 3.7% zinc, 14% lead, 84 g/t silver and 0.2 g/t gold. Golden Rim’s due diligence revealed that the Cathedral vein at Patrica will likely be its focus for a future mine development. An initial exploration target of about 4.5-million tonnes to 6.8-million tonnes at grades of between 4.5% to 6.7% zinc, 1.5% to 2.3% lead and 100 g/t to 150 g/t silver has been set for this area.
Comments
Research Reports
Projects
Latest Multimedia
Latest News
Showroom
John Thompson, the leader in energy and environmental solutions through value engineering and innovation, provides the following: design, engineer,...
VISIT SHOWROOM
For over 60 years, VEGA has provided industry-leading products for the measurement of level, density, weight and pressure. As the inventor of the...
VISIT SHOWROOM
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
