CMC Metals Ltd.
Nabs a Promising Project Near First Majestic's Mine
Published: 1/8/2024
Author: Sid Rajeev, B.Tech, CFA, MBA

Sector: Basic Materials | Industry: Other Precious Metals & Mining
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Highlights
In December 2023, CMC Metals (“CMB”) entered into an agreement with Sailfish Royalty (TSXV: FISH/MCAP: $80M) to acquire the Gavilanes silver-polymetallic project in Mexico, located near First Majestic Silver’s (TSX: FR) San Dimas/Tayoltita mine. Gavilanes hosts small tonnage/high-grade inferred resources totaling 18.2 Moz AgEq (silver equivalent), grading 320 g/t AgEq. We note that the property exhibits significant resource expansion potential, given that its deposits remain open in several directions. In addition, multiple targets remain untested.
The company has completed a geophysical survey, and a drill program, at its Silverknife project in B.C. This property is just 1.1 km from Coeur Mining’s (NYSE: CDE/MCAP: $1.4B) Silvertip mine