Element 79 Gold Eyes Lucero Production in 2024 After Strategic Divestitures
VANCOUVER, BC -- November 2, 2023 -- NewsGenie -- Element 79 Gold Corp. (CSE:ELEM) (OTC:ELMGF) (FSE:7YS) is shifting its focus to near-term gold and silver production at its Lucero Gold-Silver project in Peru. Following an aggressive M&A strategy and strategic divestitures throughout 2023, the company is now prioritizing the development of Lucero, aiming to replicate its historical success as the past-producing Shila mine.
2023: A Year of Transition
Element 79 Gold transitioned from a project incubator to a production-focused company in 2023. Key activities included:
- Lucero Expansion: Property expansion in June and receipt of Exploration Permits in September.
- Machacala Transaction: Cancellation to conserve funds.
- Centra & Valdo Sales: Sale of projects for CAD $1,000,000 and CAD $1,250,000 in stock, respectively.
- Dale Spinout: Transfer of the Dale Property to Synergy Metals Corp. with a shareholder meeting set for December 11, 2023.
- Nevada Portfolio: Dropping lower-potential properties to focus investments.
Lucero Gold-Silver Project: Core Focus
The Lucero project, acquired in June 2022, is Element 79 Gold's primary focus. The Shila mine, which operated until 2005, produced over 40,000 oz AuEq annually at a grade of 19.0 g/t AuEq. The company has secured permits for up to 350 tons of ore extraction per day and signed a social contract with the local community.
The company is currently re-creating historical datasets to inform drill targets and PEA/PFS studies in 2024.
Figure 1: Identification of a prospective high-sulphidation target at the Andrea area of Lucero, Arequipa, Peru. Source: Condor Resources
Community Engagement
Element 79 Gold is committed to positive community relations, donating 3,000 meters of piping to the Community of Chachas in October 2023.
Picture 1: Element79 Gold Corp team, Ore Discovery LLC team and Chachas community leaders at community meeting, corporate donation ceremony. Chachas, Arequipa, October 7, 2023
Picture 2: A shipment of 8” PVC piping donated to the Chachas Community, Peru, October 7, 2023.
Artisanal Mining Optimism
Increased artisanal mining activity at Lucero, with production rising from 9-10 tons per week to an estimated 90-100 tons per week, underscores the project's viability. Element79 is planning a bulk sampling program and is in discussions with regional mills to process ore.
Picture 5: Lucero site visit - Apacheta vein – with trucks hauling the week’s worth of extracted ore for the local artisanal mining groups. October 7, 2023
Future Plans
In 2024, Element79 Gold plans bulk sampling and sales to local mills. An advanced drilling program is scheduled to commence after the rainy season, around March-April 2024, to support a Preliminary Economic Assessment (PEA) and subsequent Pre-Feasibility Studies (PFS).
Picture 6 – (from L to R) Jose Santos of Ore Discovery LLC, James Tworek, Kim Kirkland and George Tumur of Element79 Gold Corp at the entrance to the Apacheta vein’s mine addit, where artisanal miners are actively extracting ore on a weekly basis. October 7, 2023
James C. Tworek, CEO of Element79 Gold Corp., expressed confidence in the company's growth prospects and commitment to responsible mining practices.
Picture 7 – Lucero Site Visit – Element79 Gold Corp hat beside an Apacheta (waymarker, or milestone simliar to Inukshuk in Canada) built by CEO & Director James Tworek, on a peak at the Lucero mine complex overlooking the Apacheta vein, simbolizing “we’ll be back”.