Exploring the Sierra Madre of Mexico for gold and base metals.
Initial due-diligence evaluations for our clients are centered on an economic forecast of the compliance obligations of any mining concession being considered for direct application or acquisition from a third party. If a third party acquisition is contemplated, it is best to verify their ownership, and that their underlying contractual obligations to the Federal Government were met. The client normally retains independent legal counsel to complete this work. If a decision is made to purchase an interest in (a) third-party owned concession(s), counsel will ensure that the Agreement is registered with the Public Registry of Mining in Mexico City such that future investments made by the acquiring party may be recorded. Direct applications for mining concessions are made by retaining the services of legal mine surveyors. Minera Camargo works with several in different parts of the country to define new mining concessions in the name of our clients.
Locating and mapping ancient industrial sites is one of many ways to define a modern mining concession. Another method is by mining the data. The Servicio Geologico de Mexico (SGM) maintains databases of historic reports, geochemical surveys, geophysical surveys and geological-mining maps. The Universidad Autónoma de México publishes geological and geophysical research. Geographical information is available from the Instituto Nacional de Estadística y Geografía (INEGI). We compile the information from all sources, then interpret it in the context of recent fieldwork and any private data obtained to help the client make the most intelligent mining concession acquisition decisions.
Once a Project has been defined by its concessions, our clients can elect to ask us to design an exploration program to evaluate the Project. Program design takes into account many factors, including the surface area of the Project concessions, mineralization type of the known (historic) workings, conceptual mineral potential based on local metallogeny, geochemical and geophysical characteristics of the Project. Large concessions benefit from techniques that can evaluate large areas quickly, such as airborne geophysical surveys, regional stream sediment geochemical and geological mapping surveys. Minera Camargo designs an appropriate survey, work plan and budget with timeline and quality control procedures for approval by the client. Surface land owners are identified and contacted in the field. Data is used manage the concessions by identifying non-anomalous areas that can be abandoned (via the concession reduction application process), thereby achieving early cost savings for the client by not maintaining more ground than is required for Project integrity. Targets for detailed work are usually followed up by grid-based rock chip and/or soil sampling geochemical surveys, perhaps ground geophysics, and detailed geological and/or underground mapping. Minera Camargo uses field portable analytical equipment, including a Niton GOLDD XRF for geochemistry and a TerraSpec SWIR for clay mineral identification. The Niton can be used to scan and optimize rock sample locations and widths for quantitative assaying, as well as provide real-time analyses for base metals in soil or pulverized rock samples. All rock samples are cut across oriented layers or structures such that the economic potential of a target becomes quantified as soon as field data collection starts. Clay mineral mapping is useful for defining metasomatic alteration zoned around metallic ore deposits, and estimating drill hole depth to target.
Modern mines are designed using data from drill hole intercepts of economic concentrations of minerals. Minera Camargo manages the planning and implementation of exploration drilling programs. At the planning stage, geological decisions are made about the location and characteristics of each drill hole as well as QA/QC and analytical protocols. Surface land access agreements are put into place. Logistical decisions about where to base the camp, communications and core processing facilities, and how to get the machine to the target site are made. If any permits are required, applications are done. Minera Camargo owns a D6N Caterpillar tractor and makes use of this machine to prepare the access and worksites in advance of the drill crew(s). We then contact drilling firms with the correct equipment and expertise for the planned job, and invite bids. Similarly, assay labs are contacted for bids on the analytical work. Minera Camargo uses its field portable lab during the drill campaign to monitor and model results in real time, and adjust the program as required. Once the samples are cut and prepared for shipping, we arrange for the laboratory to take custody.
The Technical Report of results is like the audited financial statements of a corporation. All of the facts are checked, error estimations are known, and the value of the mineral prospect to the Company becomes quantifiable (in stages). If enough drilling was done, it may be possible to model the mineral deposit or prospect in three dimensions, and start visualizing potential mining methods. The Report concludes if more work is warranted, and if so, it includes an outline of the next work plan, project participants and expected budget.