TMRC - Texas Mineral Resources Significantly Expands Project Exploration Area of 2021 Mineral Exploration and Option Agreement With Santa Fe Gold in the New Mexico Black Hawk Mining District
SIERRA BLANCA, TX - (NewMediaWire) - May 30, 2024 - Texas Mineral Resources Corp. (OTCQB: TMRC)
· Projectarea is expanded from 80 acres to approximately 1,600 acres andwe will jointly work with Santa Fe on a best-efforts basis to achieve afinancing facility.
· Initial targetsilver property has been selected by TMRC within the Black Hawk Mining Districtamong patented and unpatented claims held by Santa Fe Gold.
· Geologybelieved to be characterized by narrow, high-grade silver veins.
· Bankablefeasibility study planned to be conducted in measured phases, with the goal ofminimizing financing risk.
· Permitapplication for exploratory drilling has been submitted to the State of NewMexico.
Texas Mineral Resources Corp.(TMRC), an exploration company currently targeting the heavy rare earths,technology metals and a variety of industrial minerals through its joint-ventureRound Top Mountain project in Texas with USA Rare Earth, is pleased to announcetheexecution of an amendment to the 2021 Mineral Exploration and Option Agreement withSanta Fe Gold Corp., expanding the project area to be analyzed to determine thefeasibility of a potential silver mining exploration and development project consistingof patented and unpatented mining claims held by Santa Fe Gold within the BlackHawk Mining District in Grant County, New Mexico. Completion of the potential joint venture agreementis subject to a satisfactory outcome of a multi-phase exploration plan andcompletion of a favorable bankable feasibility study. It is currently expectedthat TMRC would be the project operator and initially own 50.5% of the jointventure while Santa Fe Gold would initially own 49.5%.
The Black Hawk Mining District islocated approximately thirteen miles west of Silver City, New Mexico. Asdocumented in USGS*, New Mexico** state reports and Society of Mining Engineers***reports, mineralization in this district, in general geological terms, consistsof numerous, narrow carbonate veins containing high silver values in randomlydistributed small lenses or “shoots.” It is one of a well-known geologic typeof mineral deposit generally referred to as the “five-element veins.”Worldwide, approximately twenty of these types of deposits have beenidentified, including the historically important silver mining camps of Cobalt,Ontario; Joachimsthal, Czech Republic; Anneberg, Saxony; and the Port Radiumdistrict in Northwest Territory, Canada. The signature characteristics of thistype of deposit are high silver grades and its occurrence as native (metallic)silver.
The two principal historic mines inthe Black Hawk district, the Black Hawk and the Alhambra, operated in the early1890s and both closed after the silver price collapse of 1893. While engineeringgrade information from these mines doesn’t exist, we believe availableinformation suggests that this typeof mineralization may respond well to state-of-the art electro-geophysicalexploration methods. If this cost-effective method can be used to identify andprecisely locate these ore shoots, and avoid the prohibitively expensive,traditional method of statistical drilling of the vein with angled holes fromthe surface, potential for economically viable mining operations may exist. Theexploration program will also assess recovery potential for critical mineralco-products including cobalt, nickel, and uranium, which we believe may occurin the Black Hawk district.
Underthe amendment to the Mineral Exploration and Option Agreement, TMRC plans to conducta district-wide evaluation among the approximately 1,600 acres of patented andunpatented claims held by Santa Fe Gold, anticipated to consist of geologicmapping, sampling, trenching, radiometric surveying, geophysics, drillingand/or other methods as may be pursued. In the 2021 Mineral Exploration andOption Agreement, TMRC was to designate one 80-acre tract as the “project area”and commence detailed exploration work. The “project area” covered in the amendedMineral Exploration and Option Agreement has been expanded to approximately 1,600acres.
Sincesigning the Mineral Exploration and Option Agreement in 2021, TMRC hasannounced the completion of a geophysical investigation using multiplevariations of electro-magnetic surveying within the Black Hawk Mining District. Work was centered around the historicAlhambra mine and was chosen as the initial area of investigation because offavorable topography and availability of certain non-engineering grade historicaldata. Results of this geophysical survey identified 16 drill targets within theAlhambra mine area worthy of analysis. We believe that the next phase ofexploration will consist of exploratory drilling with the goal of confirming the existence of silver veins in the areasindicated by geophysical mapping. Apermit application has been submitted to the state of New Mexico.
DanGorski, CEO, observes, “The geophysical technique we expect to use for thisproject is a modification of a system used to detect buried metallic objectssuch as pipes, tanks and unexploded ordinance. It is, in effect, a large-scalemetal detector. Several variations were utilized resulting in an arrangement oftransmitters and receivers that acquired data through a believed depth range ofapproximately 120 feet. The area selected for drilling is immediately north ofthe historic Alhambra mine. Potential targeted areas lie along the northwardprojection of the Alhambra vein or in parallel structures. Approximately 55drill holes are planned which aggregate approximately 6,500 feet of diamond drill core. The objective of this phase of work will be to prove the geophysical method andto test a geologically favorable area at shallow depth.
“Thecompletion and subsequent analysis of the geophysical survey was the impetus inamending the Mineral Exploration and Option Agreement”, said Anthony Marchese,chairman. “We look forward to completion of the next phase of exploratorydrilling and if such exploration should warrant further pursuit, then having exclusiveaccess to the entire 1600-acre district rather than 80 acres has the potentialto expand the size, scope and profitability of the project.”
*Gillerman E. and Whitebread D. H. (1956)Uranium Bearing Nickel-Cobalt-Native Silver Deposits, Black Hawk District,Grant County New Mexico, USGS Bull 1009-K.
**Gillerman E, (1964) Mineral Deposits ofWestern Grant County, New Mexico, New Mexico Bureau of Mines & MineralResources, Bulletin 83, p 142-151.
***GillermanE, (1959) Alhambra Cobalt-Nickel-Silver Deposit, Black Hawk District, NewMexico, Society of Mining Engineers of AIME, Preprint No. 59-105
About Texas Mineral Resources Corp.
Texas Mineral Resources Corp.'s focus is to develop andcommercialize its Round Top heavy-rare earth, technology metals, and industrialminerals project located in Hudspeth County, Texas, 85 miles southeast of El Pasothrough its joint venture with USA Rare Earth LLC. Additionally, the Companyplans to continue its business strategy of identifying and potentially developingalternative sources of strategic minerals as well as developing other domestic miningprojects in more traditional metals. TheCompany’s common stock trades on the OTCQB U.S. tier under the symbol “TMRC.”
CautionaryNote to Investors
TheUnited States Securities and Exchange Commission ("SEC") limitsdisclosure for U.S. reporting purposes to mineral deposits that a company caneconomically and legally extract or produce and that are compliant with SECIndustry Guide 7. Investors are cautioned not to assume than any part or all ofthe proposed project in the Black Hawk Mining District contains any mineral depositsthat will ever be converted into resources or that any inferred mineralresource or measured and indicated resources exists or is economically orlegally mineable. The proposed project does not contain any known proven orprobable ore reserves or mineral resource compliant with SEC Industry Guide 7reporting standards. Investors are urged to consider closely the disclosure setforth in TMRC’s latest reports filed with the SEC.
Forward-Looking Statements
This press release containsforward-looking statements within the meaning of the U.S. Securities Act of1933, as amended, and U.S. Securities Exchange Act of 1934, as amended,including, but not limited to, statements regarding the potential development, financing,economic feasibility, resource, grade and other mineralization characteristics,and drilling and exploration methods that may be utilized in potentialexploration of the Black Hawk Mining District project. When used in this pressrelease, the words “potential,” “objective,” “goal,” “business strategy,” “plans,”“suggests,” “indicate,” “expect,” “can,” “intend,” “should,” “hopes,”“believe,” “may,” “will,” “if, “anticipate,” and similar expressions areintended to identify forward-looking statements. These statements involve knownand unknown risks, uncertainties and other factors which may cause the actualresults, performance or achievements of the Company to be materially differentfrom any future results, performance or achievements expressed or implied bysuch statements. Such factors include, among others, uncertainty of mineralizedmaterial and mineral resource estimates, risks to projected and estimatedeconomics not reflecting actual economic results due to the uncertainty ofmining processes, potential non-uniform sections of mineralized material,potential mining hazards and accidents, changes in equipment and labor costs,changes in projected mineral prices and demand, competition in the miningindustry, risks related to project development determinations, the inherentlyhazardous nature of mining-related activities, potential effects on theCompany's operations of environmental regulations, risks due to legalproceedings, liquidity risks and risks related to uncertainty of being able toraise capital on favorable terms or at all, as well as those factors discussedunder the heading "Risk Factors" in the Company's latest annualreport on Form 10-K as filed on November 29, 2023 and other reports filed withthe U.S. Securities and Exchange Commission. Except as required by law, theCompany assumes no obligation to publicly update any forward-lookingstatements.
Company Contact:
Texas Mineral Resources Corp.
Anthony Marchese, Chairman
E-mail: amarchese@tmrcorp.com
Twitter: @TexasMineralRes