Mexus Gold US (OTCMKTS:MXSG) Gives Update on Santa Elena Mine

0
390

Mexus Gold US (OTCMKTS:MXSG) shares were up 10.78% on Wednesday to $0.0740 and flat in after-hours trading. Share prices have been trading in a 52-week range of $0.00 to $0.09. The company has a market cap of $39.30 million at 523.73 million shares outstanding.

Mexus Gold US is an exploration-stage mining company that is  engaged in the evaluation, acquisition, exploration and advancement of gold, silver and copper projects in the State of Sonora, Mexico and the Western United States, as well as the salvage of precious metals from identifiable sources. Aside from that, the company is also involved  in the salvage of precious metals from identifiable sources, focusing on projects to recover gold, silver, copper and other precious metals.

In its press release, Mexus Gold US said that it is continuing operations as scheduled in the Santa Elena mine project, which is a joint venture with MarMar Holdings. According to MarMar Holdings CEO Marco Martinez, the project will start the gold leaching recovery process with a target of 10,000 tons on the leach pad. He estimates that the initial leach will yield 1 to 1.5 grams of gold per ton with a recovery rate of 76%, with the initial pour having the potential to produce 250oz to 360oz of recovered gold. If so, this would be enough to paying the initial startup costs for the joint venture.

Mexus Gold US President Paul Thompson noted that the outlook for the company has never been better. He said that the company is nearing a level of production with very little debt, which is something noteworthy in the mining industry.

Mexus will be in a positive cash flow position rather quickly once we produce as anticipated which should ultimately lead to significant returns for our shareholders going forward,” Thompson remarked.

MarMar Holdings plans to increase production in the Santa Elena mine to eventually make 10,000 tons per day within 8 months of the first pour.

DISCLAIMER: There is a substantial risk of loss with any speculative asset, especially small cap stocks. The opinions expressed are those of the author, and do not constitute recommendations to buy or sell a stock. Do your own research before committing capital.