Aronos expected to make Mexican production decision

Following trenching, sampling and assaying at its Cumaral gold project in northwestern Mexico, Aronos Multinational (CDN) says it has outlined sufficient tonnage and grade to warrant production.

Amenable to both heap leaching and placer mining, the mineralization extends over a 2,500×130-metre area and exceeds four metres in depth. An additional 100 pits are being excavated to extend and confirm the depth of the deposit, situated near Hermosillo.

Previously drilled water wells indicate that gold-bearing placer gravels may extend to 19 metres.

Two portable separators are being installed to bulk-test up to 9,100 tonnes from the test pits.

Aronos estimates the property contains 1.8 million tonnes with a recoverable grade of 0.05 oz. gold per tonne — sufficient to support a 910-tonne-per-day operation for seven years.

To finance further exploration and development, Aronos plans to issue between 185,000 and 625,000 units at 80 cents each. Each unit consists of a common share and a warrant to buy a share at $1.