MTH:CC - Mammoth Resources Advancing Small-Scale Gold-Silver Production At Its Tenoriba Property Mexico
(TheNewswire)
Toronto, Canada( February 27,2025 ) – TheNewswire - Mammoth Resources Corp. (TSX-V: MTH), (the“Company”, or “Mammoth”) is pleased to announce that it is investigating the potentialof initiating small-scale gold-silver production at its 100% ownedTenoriba exploration property in the Sierra Madre precious metal belt,Mexico.
The opportunity to produce gold-silver came about whenthe Company learned earlier this year of the ongoing construction of a200-tonne per day (tpd) flotation mill, owned by a private Mexicanparty, located within a 16-kilometre (km) haul distance fromMammoth’s Tenoriba project and built to treat material fromhistorical mineralized workings in the region. Mammoth initiateddiscussions with a representative of the party building the mill andhas begun investigating paths to permit mineral extraction at Tenoribawith its environmental consultant. The Company has been advised thatthere are efficient paths to permitting small-scale production atTenoriba.
Richard Simpson, Vice PresidentExploration of Mammoth Resources commented on the small-scale goldproduction opportunity, stating : “ When welearned of the 200 tonne per day mill being built only 16 kilometresfrom Tenoriba, we immediately began thinking there might be anopportunity to process some surface and shallow depth gold-silvermineralized material from Tenoriba at this facility. As we beganinvestigating routes to advance this opportunity, we were encouragedto learn that there may be paths to efficiently permit, extract andprocess gold-silver mineralized material both at this mill and viaheap leach. With gold at almost US$3,000/ounce, we're eager to advancethis further to the point that we can make some estimates on which ofcustom milling, small-scale heap leaching or perhaps a combination ofboth of these techniques offers an attractive return on investmentwhile the extraction and treatment also provides valuable informationfor future large-scale development at Tenoriba ."
Mammoth is investigating two gold-silver productionscenarios; custom milling at the privately owned 200 tpd mill and/orMammoth building a small, pilot heap leach pad, ponds and carbongold-silver recovery column. Extraction, possible crushing andtrucking of mineralized material would be done by contracted equipmentand operators. Mineralized material extraction will require thesubmission of a new, and amending the Company's existing, InformePreventivo permit that was approved for its drilling and trenchingactivities. Mammoth's environmental consultant has advised that thecurrent permit could be amended for a work program (trenching,drilling, and sampling) to confirm the existence, size and averagegrade of surface to shallow depth gold-silver mineralization atTenoriba, with excavated material from this work program supplyingmill feed and/or the leach pad. The filing of a Chihuahua Statequarry-type permit is also being investigated for enhanced levels ofmineralized material extraction.
In the scenario of extraction of gold-silvermineralized material and stacking on a heap leach pad for gold-silverdissolution and carbon recapture-recovery, such pad and pondinstallations will have to conform to simple engineeringspecifications and Mammoth will need to consider efficiently permittedwater supply options, of which depending on the amount of waterrequired, could simply be water from the same rivers the Company usedpreviously as the source of water for its diamond drilling programs.Mammoth’s environmental consultant has suggested that permittingcould be approved as quickly as six months if the leach pad area werenot to exceed a two-hectare surface area (20,000 square metres) and ifnon-cyanide gold-silver dissolution methodologies such as DEZO and/orthiosulfate were to be employed. Preliminary metallurgical testing ofsurface to shallow depth, mixed oxidized-sulfide/transition zonemineralized material at Tenoriba using cyanide dissolution has showngold recoveries of up to 90% in tests of gold mineralized material atTenoriba (refer to press release dated November 9, 2023). The secondgold-silver production scenario of custom milling at the nearby 200tpd mill would be easier to permit, there being no need to considerleach pads or water supply. A combination of both methodologies may beemployed.
Thomas Atkins, President and CEO ofMammoth Resources commented on the small-scale productionopportunities, adding : “ This small-scale,pilot gold-silver production opportunity doesn’t separate Mammothfrom its objective of drill defining its near two-million ouncegold-silver target for further exploration. If we can efficiently permit production from Tenoribaeither by heap leach and/or custom milling, given the recent gold andsilver prices, this could be a terrific win for Mammoth and itsshareholders as we'd both gain some valuable information on thedynamics of a test, pilot heap leach operation while also generatingsome potential cash flow to cover costs and reinvest in defining thelarge, near two-million ounce target for further exploration atTenoriba ."
Company geologists have identified 15 surfaceextraction areas where potential volumes of gold-silver mineralizedmaterial with potentially economical grades of up to 2.0 grams pertonne gold equivalent (gold:silver ratio of 1:80) have been identifiedat Tenoriba based on assay results from surface chips, surfacechannels, gold in soil and diamond drill core samples.
Ongoing activities to advance this opportunity include:(1) continued investigations and receipt of a quote to submit permitsfor approval; (2) ongoing discussions with a metallurgical lab inHermosillo, Mexico to define gold-silver dissolution and recoveryparameters and costs using DEZO and/or thiosulfate methodologies; (3)refining the additional work required to enhance confidence in the 15extraction areas and potential volumes of gold-silver mineralizedmaterial with potentially economical grades in these areas; (4) heapleach pad, pond and small carbon cell facility location and layouts;and (5) follow up discussions and plans for testing mill recoveries ofTenoriba gold-silver mineralized material at the nearby 200 tpdmill.
Mammoth will provide more information as additionalnews on these opportunities becomes available.
Qualified Person(s)/CompetentPerson(s) (QP/CP):
Richard Simpson, P.Geo., Vice-PresidentExploration for Mammoth Resources Corp. is Mammoth's QP/QC underNational Instrument 43-101 by virtue of his professional designation,university degree and years of work experience as a geologist and isresponsible for and has reviewed all technical data in this release(refer to Mammoth’s website “Projects”, “QualifiedPerson/Competent Person” section for Mr. Simpson’squalifications).
About Mammoth Resources:
Mammoth Resources (TSX-V: MTH) is a precious metalmineral exploration Company focused on acquiring and defining preciousmetal resources in Mexico and other attractive mining friendlyjurisdictions in the Americas. The Company holds a 100% interest(subject to a 2% net smelter royalty purchasable anytime within twoyears from commencement of commercial production for US$1.5 million)in the 5,333-hectare Tenoriba gold property located in the SierraMadre Precious Metal Belt in southwestern Chihuahua State, Mexico.Mammoth is seeking other opportunities to option exploration projectsin the Americas on properties it deems to host above average potentialfor economic concentrations of precious metalsmineralization.
To find out more about Mammoth Resources and to sign up to receivefuture press releases, please visit the company's website at: www.mammothresources.ca ., or contact Thomas Atkins, President andCEO at: 416 509-4326.
Neither the TSX Venture Exchange nor its RegulationServices Provider (as that term is defined in the policies of the TSXVenture Exchange) accepts responsibility for the adequacy or accuracyof this release.
Forward Looking Information: This news release maycontain or refer to forward-looking information. All information otherthan statements of historical fact that address activities, events ordevelopments that the Company believes, expects or anticipates will ormay occur in the future are forward-looking statements; examplesinclude the listing of its shares on a stock exchange and establishingMineral Resources. These forward-looking statements are subject to avariety of risks and uncertainties beyond the Company's ability tocontrol or predict that may cause actual events or results to differmaterially from those discussed in such forward-looking statements.Any forward-looking statement speaks only as of the date on which itis made and, except as may be required by applicable securities laws,the Company disclaims any intent or obligation to update anyforward-looking statement, whether a result of new information, futureevents or results or otherwise. Although the Company believes that theassumptions inherent in the forward-looking statements are reasonable,forward- looking statements are not guarantees offuture performance and, accordingly, undue reliance should not beplaced on these forward-looking statements due to the inherentuncertainty therein.
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