Defiance Mining Corp. is what became of Geomaque Explorations Ltd. (see below). Largely active in Mauritania and Honduras and not much going on in Mexico. Defiance’s main assets are the Tasiast development project in
, Mauritania West Africaand the Vueltas Mine and the Zopilote deposit both located in , Honduras Central America. On September 3, 2004 the acquisition of Defiance Mining Corporation by Rio Narcea Gold Mines Ltd. closed. Please visit the Rio Narcea web site (www.rionarcea.com) for further information as the information on this site may become out of date.
Defiance Mining Corp. [DM:TSE]
End of Geomaque Explorations Ltd. Geomaque and Defiance Mining Corporation Announce Completion of the Statutory Amalgamation of Geomaque under Defiance and Listing of Defiance on the TSX (Toronto, Canada) Geomaque Explorations Ltd. (TSX: GEO) (“Geomaque”) and Defiance Mining Corporation (“Defiance”) are pleased to announce the completion, effective June 25, 2003, of the statutory amalgamation of Geomaque with a wholly-owned subsidiary of Defiance, a Canadian corporation. Defiance has been approved for listing on the Toronto Stock Exchange (the “TSX”) and will commence trading on the TSX under the symbol DM, on Wednesday, July 2, 2003. Until that time, trading will continue under the Geomaque symbol, GEO. Geomaque will cease to be a TSX-listed company with the listing of Defiance. Please note that the former Geomaque website will be closed. The Defiance website is: www.defianceminingcorp.com.
Geomaque has a sizeable land position around the San Francisco Mine. In 2000 La Chicharra, a satellite deposit to the San Francisco Mine, was successfully brought into production, and the Company will continue to evaluate the numerous highly prospective gold targets that exist on the San Francisco Property.
Geomaque Explorations Ltd. GEO (TSE)
Latest Press Releases
San Francisco Gold Mine OP/HL Au Mine in Sonora in production until recently. Mine presently on shut-down and standby mode until gold process recover. Geomaque Explorations suspended work at its San Francisco mine in Mexico in July, 2000 because of low gold prices. Geomaque's spokesman Sean Stokes reportedly told Bloomberg news service that the company will stop mining at the San Francisco mine "until gold prices reach at least $325 an ounce." This announcement preceded an April 3rd press release which stated that operations at the San Francisco Mine progressed well during the first quarter of 2000. A total of 1,000,000 tonnes of ore, 11% over budget, at a grade of 1.26 g/t were mined and crushed during the quarter, resulting in a record of 40,600 ounces of gold loaded on the heap. Gold production, before final settlements, was 17,000 ounces. This compares with production of 14,225 ounces in the fourth quarter of 1999. "Under the new mine plan San Francisco is currently producing over 250 ounces of gold a day, and given the grade and tonnes we're putting on the pad we anticipate reporting strong production numbers again in the second quarter," said Mr. Paterson.
The record 65,084 ounces of gold from the San Francisco Mine were produced at a cash cost of $256 per ounce, compared with 59,153 ounces produced in 1998 at a cash cost of $261 per ounce. Under the new mine plan, minimum gold production of 50,000 ounces is expected in 2000. The revised operating plan includes mining of ore delineated a La Chicharra located 1.5 kilometres west of the San Francisco Mine. The Company is pleased to report that all mining permits and surface rights agreements have been acquired, and that mining has begun at La Chicharra. While drilling indicates that 1.0 g/t-plus grades continue at depth over significant widths, the Company is currently focusing on the low strip near-surface ore which can be mined at low cost.
Press Release 3Apr00
News Release 29Mar00
Mine is located near Estacion Llano around 90 mi N of Hermosillo very near the highway. Plans are to consolidate it into 1 huge pit 1,100 m long, 650m wide and 222 m deep covering 52 hectares. Further exploration is very encouraging along strike at Chicharra. Year-end 1995 reserves were 6,900,000 tonnes at 1.47 grams/tonne. Mineable Au reserves reported to be 725,777 ounces in Nov. 1996 (with a resource estimates at 1.4 million ounces). Production in 1997 was 53,150 oz. . Reserves reported at San Francisco Mine on 01/13/97 are 24.5 million tonnes at 0.92 gpt. Successful expansion program designed to boost production to 80,000 oz/yr by mid-1997. 1996 production in excess of 36,000 oz at cash cost of $225/oz. Drilling in 1997 increased reserves to 818,800 oz Au at 0.027 opt grades and considering cuttoffs to handle a 2.3 to 1 stripping ratio in pit design. Crusher Feed is 23,300,000 tonnes at 1.02 gpt Au. Record Au ounces in 2Q98 along with record throughput to crusher.
February 3, 2000: The San Francisco Mine produced 65,000 ounces in 1999. While this represents a 10% increase over 1998 production of 59,000 ounces, and record annual production, gold production in the fourth quarter (14,000 oz) and second half (28,000 oz) was below budget due to lower than expected crusher throughput in the second half. The decreased production combined with continued weakness in the gold price, increased costs attributable to Mexican inflation, and high foreign currency costs led to expenditures exceeding revenue at the mine in the fourth quarter and early 2000. "The cost structure combined with the production shortfall made the mine a net consumer of cash at the gold price and production level realized in the fourth quarter," said John Paterson, President and CEO. "In response we've reached an agreement to restructure the terms of the lease on our mining fleet and implemented a revised mine plan to maximize near-term cash flow. It's encouraging to see that due to changes made in the fourth quarter January was a record month for crushing, with 11,000 ounces delivered to the pad." The Company has put in place a mine plan that encompasses the San Francisco pit and near-surface ore reserves at La Chicharra, located approximately 1.5 km west of the mine. All necessary mining permits for La Chicharra have been received, and Geomaque is in the process of finalizing a surface rights agreement for the area. A total of 1.6 million tonnes of ore averaging 1.17 g/t gold with a 1.8:1 waste-to-ore ratio will be mined from the two deposits over the next six months. At that time the Company will conduct a detailed economic review.
February 4, 1999: Production from its San Francisco Mine increased to 59,200 ounces (before final settlements) in 1998 from 53,150 ounces in 1997. Production is expected to increase further in 1999 to 70,000 ounces per year. During the fourth quarter, the San Francisco Mine produced 16,100 ounces, a 19% increase over the 13,500 ounces produced in the fourth quarter of 1997. Crusher throughput in the fourth quarter was 908,000 tonnes, 44% higher than during the fourth quarter of 1997. This record throughput contributed to gold production of 6,500 ounces (before final settlements) in January 1999, an increase of 91% over the 3,400 ounces produced during January 1998. A total of 3.2 million tonnes of ore were processed during 1998, compared with 2.4 million tonnes in 1997. More than 7.5 million tonnes of ore are now under leach at the San Francisco Mine. The higher throughput was the result of modifications made during 1998 to increase crusher availability. In January 1999, the remaining two smaller tertiary crushers were replaced with a single, larger-capacity crusher. This is expected to further improve operational efficiencies and contribute to lower unit costs going forward. Mr. Paterson said "We are producing at a rate more than double than specified in the San Francisco feasibility study".
August 24, 1999: Year-over-year gold production increased and cash costs per ounce decreased at the San Francisco Mine during the second quarter. Production rose to 17,532 ounces in 2Q99 from 12,681 ounces during 2Q98, while cash costs per ounce decreased to $254 per ounce from $262 per ounce in the period. For the s2Q99, the Company posted a loss of $596,000, or $0.01 per share, which includes an expense of $310,000 associated with lending arrangements with Standard Bank London Limited and the Republic Bank of New York. In 2Q98 the Company reported a loss of $181,000, or $nil per share. The average gold price realized during the quarter decreased to $310 per ounce, resulting in cash flow of $331,000, or $0.01 per share. This compares with cash flow of $624,000, or $0.01 per share during 2Q98, when the average realized price was $347 per ounce. Gold production during the first half 1999 was a record 36,832 ounces, a 43% increase over the 25,842 ounces produced during the first six months of 1998. The six-month loss totals $507,000, or $0.01 per share, compared with a loss of $74,000, or $nil per share, for the first six months of 1998. Cash flow in the first half of 1999 was $1.48 million, or $0.03 per share, compared with cash flow of $1.45 million, or $0.03 per share, in the first half of 1998. The Company's average realized gold price in the first half of 1999 was $315 per ounce, versus an averaged realized price of $348 per ounce in the first half of 1998. ``Gold production in the first six months exceeded expectations, and we expect to see lower cash costs per ounce in the fourth quarter as a result of the modifications we recently announced and implemented at the San Francisco Mine,'' said John Paterson, President and CEO.
San Francisco Mine Operating Statistics
Quarter ended June 30 1999 1998 Crushed Ore to pad 804,000 tonnes 876,000 tonnes Average Grade 1.02 gpt 1.00 gpt Gold Production 17,532 ounces 12,681 ounces Cash cost per oz of Au $254 $262
Press Release 24Aug99
GCN #27 9Feb99
Press Release 4Feb99
Press Release 23Nov98
GCN #200 19Oct98
GCN #164 26Aug98
1Q98 Financials 20May98
GCN #136 16Jul98GCN #228 27Nov97
MBD August, 1997 (Map w/prospect locations)
GCN #168 2Sep97
La Chicarra located 2.5 km W of San Francisco mine. A total of 40 holes drilled by end of Nov. 96 and drilling continues 2Q97. Best results include 18m/3.72 gpt and 2m/2..47 gpt in hole CH528. Also 20m/1.16 gpt and 4m/1.47 gpt in hole S541 and 8m/2.34 gpt and 4m/3.57 gpt in CH534. To date target has been drilled over 400m along strike. Ground magnetics are being used to refine drill targets. An additional 30 hole program initiated in 4Q97 will continue into 1Q98. A new gold zone was discovered in the 1Q99 at La Chicharra, located two kilometres west of the San Francisco Mine, and drilling during 2Q99 doubled the known strike length to 400 metres. Assays grading up to 28.74 g/t gold over 3 metres have been returned, and while drilling indicates that 1.0 g/t-plus grades continue at depth over significant widths, the highest grades encountered are near surface. The Company is currently evaluating the potential for mining the higher grade, low-strip near-surface
mineralization which could be processed at the San Francisco Mine, and planning an infill drilling program.
Press Release 24Aug99
LAMR April, 1997
NMN v82#52 02/10/97
GCN #38 24Feb97
NMN v82#46 01/13/97
LAMR December, 1996
GCN #224 20Nov96
NMN v82#27 09/02/96
NMN v82#20 07/15/96
NMN v82#14 06/03/96
Additional exploration targets, all in Sonora include: El Dieciseis (20 km SW of San Francisco Mine) Planned Phase I RC program of 1000m. San Martin (200 km SE of Hermosillo) Planned Phase I DDH program of 600m. La Vetatierra (7 km NW of San Francisco Mine) Planned geochem in Feb and drilling in April. Las Viboras (60 km NE of Hermosillo) Drilling will begin on series of Au-bearing veins on newly acquired claim. Exploration ongoing.
GCN #251 31Dec96