SilverCrest Metals Inc. is a Canadian precious metals exploration company headquartered in Vancouver, BC, that is focused on new discoveries, value-added acquisitions and targeting production in Mexico’s historic precious metal districts. The Company is led by a proven management team in all aspects of the precious metal mining sector, including experience and success in applying a responsible “phased approach” business model in taking projects from discovery, finance, on time and on budget construction, and production with subsequent increased value to shareholders. The Company was formed following the acquisition of SilverCrest Mines Inc. by First Majestic Silver Corp., which remains a shareholder in SilverCrest Metals Inc.
The Las Chispas property is located approximately 180 kilometres northeast of Hermosillo, Sonora, Mexico. The community of Arizpe (estimated population 2,000) is located approximately 12 kilometres to the north of the property. The property consists of 17 concessions totalling to 1326.78 hectares.
In 1640, rich silver veins where discovered near Arizpe by soldiers under the command of Pedro de Perra. The property did not receive any notable exploration or production until the late 1800s. From 1880 to 1930, several mines on the property had intermittent production. From public information, approximately 120 million ounces of silver and 200,000 ounces of gold were cumulatively produced from the property. Since 1930, no significant work has been completed on the property.
During the early 1980s, a local Mexican company reprocessed old waste and tailings dumps from Las Chispas. Processing was by vat leaching with no production records available.
In the first half of 2015, SilverCrest completed negotiations with local Mexican individuals and a Mexican company to acquire the property under several option to purchase agreements. In 2014, prior to obtaining title to the property, SilverCrest incurred U.S.$149,599 in concession payments and other exploration expenditures. From January 1, 2015 to the date of the Application, SilverCrest incurred additional U.S.$69,146 in exploration expenditures, of which U.S.$50,000 was for concession payments.
Geologically, the Las Chispas property consists of a Late Cretaceous – Early Tertiary low sulfidation epithermal system. Host rocks are volcanic tuffs, rhyolites, agglomerates and rhyolite breccias. Andesite dykes are noted in underground workings sub-parallel to mineralized structures.
The Las Chispas Mine is known for its world-class silver mineral specimens including polybasite, stephanite, native silver and pyrargyrite. Specimens are on display in private collections and museums worldwide.
Las Chispas targets and historical photo
Targets for modern exploration include drilling of near-surface (0 to 100 metres) vein extensions, depth (200 to 400 metres) extensions of historical producing areas, potential open pitable stockwork and breccia zones, and possibly reprocessing remaining waste and old tailings dumps.
Las Chispas Area
SilverCrest Metals plans to conduct general exploration including mapping, sampling, geochemical analysis by December 31, 2015 for approximately Cdn.$25,000. Based on results of the general exploration, the Company is planning to conduct a drill program in Q1/16 to test known targets in the Las Chispas area. Payment obligations on the Las Chispas property during the next 18 months are property payments of U.S.$50,000 in 2015 and U.S.$105,000 in 2016.
Underground mineralization at Las Chispas
Mineralization occurs in 0.5 to 5 metre wide veins with adjacent stockwork and breccias trending northwest- southeast for 1 to 1.5 kilometres. Depth from surface of known mineralization is estimated at 300 metres. Main veins dip 55 to 85 degrees to the southwest. Fourteen epithermal veins have been previously defined on the property of which 3 have had notable production. The historical producing veins included Las Chispas, Guillermo Tell, and Babicanora. From public information, the Las Chispas mill production between 1908 through 1911 was approximately 25,000 tonnes grading 35 gpt gold and 4,500 gpt silver totalling an estimated 25,000 ounces of gold and 3.2 million ounces of silver. Several kilometres of underground workings exist on the property and are partially accessible.
The Huasabas property is located approximately 190 kilometres northeast of Hermosillo, Sonora, Mexico. The community of Huasabas (estimated population 1,000) is located approximately 15 kilometres to the southeast of the property. The property consists of one concession totalling to 800 hectares. The property was claimed by SilverCrest in 2013 during a reconnaissance trip.
Previous field mapping and sampling showed anomalous gold, silver, mercury, antimony, and barium occurring in 0.5 – 30 m wide veins, stockworks and breccias approx. 1 km in strike length. A small drill program consisting of 6 core holes has commenced with initial results to be expected in Q1/16.
Target for exploration is a precious metal mineralized epithermal system.
Obligations or known future taxes payable in respect of the Huasabas property are expected to total approximately U.S.$800 per year.
Cruz de Mayo
The Cruz de Mayo property is located in the State of Sonora, Mexico, approximately 22 km northwest of the town of Cumpas and 163 km north east of Hermosillo. The project is located 35 km directly northeast, and approximately 150 km total distance when travelled by paved road, of the Santa Elena mine. The Cruz de Mayo Property consists of two mineral concessions, Cruz de Mayo 2 and El Gueriguito, combining for a total area of 452 hectares. The Cruz de Mayo Property was transferred to SilverCrest Metals as part of the friendly acquisition of SilverCrest Mines by First Majestic. SilverCrest Metals has 100% ownership of the Cruz de Mayo 2 and El Gueriguito concessions through SilverCrest Metals Sub. The El Gueriguito concession is subject to a 2.5% NSR, to a maximum of U.S.$1,000,000. The surface rights to both concessions are held by a local rancher. Ownership of the mineral concessions provides the legal right to exploration on the concessions, however, SilverCrest has historically notified the land owner for permission and access to the property.
The Silver Angel Property
The Silver Angel property is located approximately 165 kilometres northeast of Hermosillo, Sonora, Mexico. The community of Arizpe (estimated population 2,000) is located approximately 25 kilometres to the west of the property. The property consists of one concession totalling 619 hectares. In 2003,
SilverCrest acquired the Silver Angel property by concession applications.
At this time, SilverCrest Metals has no plan to perform any work on the Silver Angel property. Future payments, obligations or known future taxes payable in respect of the Silver Angel property are expected to total approximately U.S.$10,000 per year.
The Estacion Llano Property
The Estacion Llano property is located approximately 140 kilometres north of Hermosillo, Sonora, Mexico. The community of Estacion Llano (estimated population 1,000) is located approximately 8 kilometres to the east of the property. Also, Timmins Gold’s San Francisco mine is adjacent to the property. The property consists of one concession totalling to 2,378.76 hectares.
At this time, SilverCrest Metals has no plan to perform any work on the Estacion Llano property. This property is currently subject to litigation and depending on the outcome, may not be transferable to SilverCrest Metals. As a result, there are no known future payments, obligations or known future taxes payable in respect of the Estacion Llano property except for concession payments of approximately U.S.$25,000 per year.
The Guadalupe Property
The Guadalupe Property is located approximately 110 kilometres northwest of Durango City, Durango, Mexico. The community of Gavilanes (estimated population 145) is located adjacent to the property and San Miguel de Cruces (estimated population 1,800) is approximately 25 kilometres north. The property consists of one concession totalling 4,762.2 hectares.
The property was claimed by Hochschild Mining in 2007 and subsequently acquired by First Majestic in 2010. Santa Cruz Silver Mining recently discovered the “Gavilanes Deposit” immediately adjacent to the property. Primero Mining’s San Dimas Mine is approximately 20 kilometres to the southwest.
At this time, SilverCrest Metals has no plan to perform any work on the Guadalupe property. Future payments, obligations or known future taxes payable in respect of the Guadalupe property are expected to total approximately U.S.$50,000 per year.
|Share Structure Issued & Outstanding Shares
as of December 10, 2015:
|Warrants||$0.20||November 19, 2017||8,332,567|
|Options||$0.06 – $0.16||Feb. 15, 2016 – Dec. 9, 2020||2,830,917|
|Market capitalization (million)
as of December 10, 2015
Management & Directors
N. Eric Fier, CPG, P.Eng.
President & CEO, Director
Mr. Fier is a Certified Professional Geologist (USA) and Engineer (Canada) with over 30 years of experience in the international mining industry including exploration, acquisition, development and production of numerous mining projects in Guyana, Chile, Brazil, Central America, Mexico and Peru.. He has in-depth knowledge of project evaluation and management, reserve estimation and economic analysis, construction, as well as operations management. Mr. Fier previously worked as Chief Geologist with Pegasus Gold Corp., Senior Engineer & Manager with Newmont Mining Corp. and Project Manager with Eldorado Gold Corp. and is also currently the Chief Operating Officer of Goldsource Mines Inc. (“Goldsource”).
Barney Magnusson, CA
CFO & Director
Mr. Magnusson has more than 30 years of experience in corporate finance and public company management. He is a former senior officer and director of three mining companies that developed producing mines: Dayton Mines Inc. (Chile), High River Gold Mines Ltd. (Manitoba, Canada) and Brohm Resources Inc. (South Dakota, USA). He is the current Chief Financial Officer of Goldsource. He has dealt extensively with international finance and investment communities.
Mr. Poznanski has a broad legal background in corporate finance, mergers & acquisitions and securities law. He has acted for a wide variety of companies listed on the TSX, the TSX-V, the NYSE and NASDAQ. Mr. Poznanski is one of the founding partners of Koffman Kalef LLP and currently heads the firm’s securities group.
Vice President, Corporate Communications
Mr. Rapsch has a decade of in-depth investor relations and corporate communications experience. He joins SilverCrest Metals after four years at SilverCrest Mines Inc. (“SilverCrest Mines”) which was recently acquired by another precious metal producer. He was responsible for the implementation, management and execution of all marketing and investor relations related programs, including but not limited to communicating with retail and institutional investors across North America and Europe. During Mr. Rapsch’s tenure at SilverCrest Mines it was nominated as a finalist at the 17th annual IR Magazine Reward in the category for “Best IR by a TSX Venture Exchange-listed company” in 2014.
J. Scott Drever, BSc.,
Mr. Drever has plus 40 years of international experience in mineral exploration and development and mining operations. He has served as an executive officer and director of a number of public companies listed on the TSX and the TSX-V, including the Dome Mines Group, Placer Dome Ltd., Blackdome Mining Corporation, DiamondWorks Ltd. and SilverCrest Mines Inc.
Ross O. Glanville, P.Eng., MBA, CGA
Mr. Glanville has over 40 years of resource-related experience in numerous countries, and has been involved in the exploration, financing, development, and operation of a number of mines. Mr. Glanville has served on the Boards of Directors of five companies with producing mines, and still serves as a director of three of these companies.
George W. Sanders
Mr. Sanders is a mining entrepreneur with over 35 years in mining and exploration finance experience. Mr. Sanders is also a Director of Bitterroot Resources Ltd., and a Director and President of Goldcliff Resource Corporation. He spent over 15 years as a registered representative and precious metals specialist with the investment firm Canaccord Capital Corporation (now Canaccord Genuity Corp.) and its predecessor companies. Mr. Sanders has held Corporate Development positions with Richmont Mines Ltd., Consolidated Cinola Mines and Shore Gold Inc.
Graham C. Thody, CA
Mr. Thody is a member of the British Columbia Institute of Chartered Accountants as well as the Canadian Institute of Chartered Accountants. He was President and CEO of UEX Corporation from November 2009 until his retirement in January 2014. He is currently a director of several reporting companies which are involved in mineral exploration and development throughout North, Central and South America.
Dunham L. Craig, P.Geo.
Mr. Craig has 26 years in the mining industry which has encompassed all aspects of mining projects and operations, progressing from exploration discovery to feasibility, financing, permitting, construction and production related to two mines. He has extensive experience in Canada, Central America and Mexico with groups such as Wheaton River Minerals Inc. and Glencairn Gold Inc. Mr. Craig is currently President and CEO of Geologix Explorations which has successfully acquired and permitted a 38,000 tpd gold/copper project in Mexico.
Corporate Head Office
SilverCrest Metals Inc.
570 Granville Street, Suite 501
Vancouver, BC V6C 3P1
Tel: (604) 694-1730
Toll Free: 866-691-1730
Fax: (604) 694-1761
Fred Cooper, Investor Relations
Telephone: 604-694-1730 ext 108
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