DynaResource represents some private money from Texas who picked up San José de Gracia at fire sale prices. They are currently conducting surface and underground exploration aimed at developing this extremely prospective high grade gold vein system. Giddyup Let's Ride!!
DynaResource Ltd. privately held Texas corporation
Operates in Mexico as DynaResource de Mexico S.A. de C.V.
San José de Gracia Gold Project, Sinaloa. Property consists of 24 concessions totaling 3,819.1 hectares The majority of the claims are 100% owned by DynaResource Ltd. (“DynaResource”) of Irving, Texas, through its wholly owned Mexican subsidiary DynaResource de Mexico, S.A. de C.V. (“DynaResource de Mexico”). This data was true as of July, 2000.
The Santa Rosa concession is 73% owned by Minera Finisterre S.A de C.V. (“Minera Finisterre” aka Golden Hemlock). Subsequent to the purchase of the remaining interest in the Santa Rosa concession, Minera Finisterre is under agreement to transfer the ownership of the Santa Rosa concession of DynaResource de Mexico. The El Real, San Sebastian, Los Tres Amigos and Tres Amigos 2 concessions, owned by the estate of Fransisco Choza, are in the process of being transferred to Minera Finisterre. Subsequent to their transfer, Minera Finisterre is under agreement to transfer ownership of these concession to DynaResource de Mexico.
Property History: High grade gold mineralization, occurring as native gold hosted within oxidized quartz breccia veins, was first discovered at San José Gracia in 1828 by Spanish explorers and missionaries. Over the next thirty years small scale mining resulted in the discovery of more than 60 mineral occurrences within the San José de Gracia mining district. Mining in the district began to decline by the mid-1800’s, with the onset of the California Gold Rush. Mining activity was finally abandoned in 1858, following a series of cholera epidemics which decimated the local work force. The Anglo-Mexican Mining Company (“Anglo-Mexican”) resumed activity at San José de Gracia in 1870, and by 1887 the company had constructed the first steam driven mill in the district, thereby greatly increasing gold production, to the order of 60 tons/day. In 1892 the Jesus Maria vein was discovered on La Purisima Ridge. During it’s mine life the Jesus Maria had an average head grade of 3.49 oz/ton gold. This was followed in 1895 by the discovery of the La Prieta Mine, some 2 km to the northeast, with an average head grade of 0.89 oz/ton gold. In 1902 Anglo-Mexican consolidated with their principal rival in the district; mining continued until the onset of the Mexican Revolution in 1910. The period from 1890 to 1910 was the peak of historic production at San José de Gracia, with an estimated 1 million ounces of gold produced, mainly from the La Purisima and La Prieta areas.
Following the Revolution, the Mexican government, as well as several private companies attempted to reopen the mines at San José de Gracia, but were unsuccessful in large part due to the prohibitively high costs of bringing fuel into an area without adequate roads. The 1970’s saw construction of a road to the town of San José de Gracia and, along with reforms to the Mexican mining laws, allowed for reopening of the mines, first by Compañia Metallurgica Rosarito, S.A. de C.V. (“Rosarito”), which produced gold from the Palos Chinos, San Pablo, Tres Amigos, La Union and Santa Eduwiges mines from 1978 until the death of the company’s owner in 1994.
In 1980 the Mexican Government’s Consejo de Recursos Minerales (“CRM”) completed work on the property for mineral assessment purposes. This included underground mapping and sampling at La Ceceña, Palos Chinos, Veta Tierra, and Mochemara. Since the mid-1980’s several major mining companies, including ASARCO and Peñoles, have attempted to acquire the district, but their attempts failed due to the large number of concessions and owners in the key areas. In 1994 this obstacle to exploration and development of the San José de Gracia gold camp was overcome by Minera Finisterre, who consolidated the San José de Gracia land package. The property was subsequently optioned to Vancouver-based Consolidated Samarkand Resources Inc., who terminated their option when they were unable to meet property payments.
In 1996 Vancouver-based Golden Hemlock Exploration Inc. (“Golden Hemlock”) acquired controlling interest in Minera Finisterre and mounted a 6,172 meter (63 hole) diamond drill program on the property in 1997. San José de Gracia has subsequently been acquired by DynaResource, a private Texas-based company through a Mexican subsidiary DynaResource de Mexico.
Report on Web dated 12Jul00