Hochschild Mining Share Discussion Threads

[stevea171] 24/8/2018 09:29

The Las Dos Marias project, LDM, Chile. It is in the Altos de Lipangue district, ADL, approx 30km NW of Santiago.

The ADL mining district is enormous, comprising more than 10,500 hectares. For reference, that is more than 40 square miles, or roughly twice the size of Manhattan. As one travels about the plateau, more than 400 trenches and numerous adits are visible across the landscape, yet barely scratch the surface of the effort needed to thoroughly explore and put the property into full production. The ADL is truly a massive greenfield mining site.

The slope of the mountain is steep, with 23 switchbacks on the way to the plateau. Auryn has done a significant amount of work on the roads. Whereas it once required a jeep over two hours to ascend the mountain, it now takes 40 minutes while driving conservatively. A twenty-ton truck can make it to the top and back down without having to stop and reverse along the way. It takes about one and a half hours for a truck loaded with ore to descend from the plateau.

I walked through and inspected the Larissa adits on levels 2 and 3. I also inspected the adit that Auryn refers to as level 2a. What I observed matches what I expected to see based on the pictures Auryn has posted and the private discussions I have had with Auryn. The vein on level 2a is eye-popping. Outwardly it appears to have far greater mineralization than the vein uncovered on level 3. This has been confirmed by multiple assays on both veins. The geologists believe they are close to intersecting this vein on level 3. This would be a significant development and greatly improve the economics of Auryn, and thus Medinah. Work is expected to start on this effort the beginning of March.

I inspected the Maria adit on the Las Dos Marias claim near the base camp and could clearly see the various structures that contained copper mineralization. This is an adit that Auryn has significantly expanded and secured.

The Maria adit is not to be confused with the Maria Teresa adit which is the property LDM Chile / Nuoco developed in search of a “glory hole”. The “glory hole” was never found and was most likely the result of a nugget effect on the drill core. Despite the absence of a “glory hole”, the Maria Teresa tunnel has not been discarded as a future target. It appears to be a shear zone and more geological work is needed there and in the Maria adit to better understand their mineralization and determine the best approach to their development.

There were several other areas of the ADL that I observed including some targets that have yet to be publicly reported. The need for an experienced geologist like Dr. Raymond Jannas, recently contracted by Auryn’s CEO, cannot be understated. With the help of Dr. Jannas, Auryn can prioritize the targets in a way that balances the long-term success of the project against the need for short-term results.

[stevea171] 24/8/2018 08:38

AURYN Mining Corporation Signs Binding LOI with Hochschild Mining PLC
Aug 22, 2018

INDIANAPOLIS, IN, August 22, 2018. AURYN Mining Corporation (OTC: CDCHD) is pleased to announce the signing of a binding Letter of Intent (“LOI”) with Hochschild Mining PLC, for the Las Dos Marias project (“LDM”). Please note, the currently named LDM project is a consolidation of over 3,000 hectares and is significantly larger than what has historically been known by our shareholders as the LDM (see the graphic included below.)

This LOI gives Hochschild the option to invest US$7,000,000.00 into the LDM project over a 5-year period to earn a 51% joint venture interest in the LDM properties. An option to invest an additional US$23,000,000.00 is available to Hochschild to gain an additional 9% interest. If all US$30,000,000.00 is invested, Hochschild will own 60% of the LDM project with AURYN holding the remaining 40% as a joint venture partner. The LOI is subject to further due diligence and the signing of a definitive agreement.

We expect to sign the definitive agreement in the coming weeks with work planned to begin on the property in early September 2018. The first step on this project will follow Dr. Sillitoe’s recommendations, which are from his visit to the property mid-March 2017. An aggressive work plan is scheduled to take place and the short-term goal is to have the property ready for drilling to begin in early 2019.

Maurizio Cordova, CEO of AURYN, commented: “We are pleased to partner with Hochschild. Although the project is still in the early stages of exploration, we believe it has the potential to become a significant gold / copper skarn project and we want our shareholders to have the opportunity to participate in this if it comes to fruition.”

AURYN will provide logistical support to Hochschild’s work on the project and will receive a net management fee for doing so.

For further information please visit our website, hxxps://aurynminingcorp.com.

[edjge2] 23/8/2018 21:10

Scared currency going to dollar as it does. Propping up US market. Chinese and ruskies got the right idea.
ZS an internet security company newby seems to be going great guns on NASDAQ.
Thanks DT TTD still om the up after great results.
Various references to gold low at 1160 odd and demise of the dollar imminently.
Ah live and hope. More cash coming end of month.

[davidspringbank] 23/8/2018 19:32

There's going to be an almighty crash, I can feel it in my water.

[rhuvaal2] 23/8/2018 11:43

I added at these prices but have powder dry for any lurch beneath 160p but trust /hope we'll not see that again "this time around"...

[crosseyed] 22/8/2018 14:51

Same from me, Steve, a lot to look forward to.
c

[rrr] 22/8/2018 13:19

Thanks Steve, good post.

[stevea171] 22/8/2018 10:45

Gold looks as though it is starting a reversal process. First target would be to get through $1200 and hold above. Expect silver will follow eventually though still very weak ....

[dt1010] 22/8/2018 09:21

True. Don’t you love the smell of corruption in the morning.

[stevea171] 21/8/2018 12:31

X-eyed. Keep posting!
Rhu. Hope you do well.

Another Autumn looming large. Another chance for the US and global house of cards financial system to unravel big time. Michael Snyder thinks so:
Tesla
The Stock market
Deutsche Bank
Italy
Trade war

[dt1010] 21/8/2018 08:31

Gold is on a recovery path now having capitulated and delivered a wick on its chart down to $1184.

Up we go from here. This will rally now.

I, cough, hope...this surely has to be a great buy now...I am continuing to buy in my children’s ISAs, they will thank me hopefully in 15 years. Here’s to golden’s target.

[rhuvaal2] 20/8/2018 16:44

Thank you stevea, all interesting stuff.
Also I added a little more to MML @ 39.5 in the hope there'll be a turnaround once the two issues are resolved: sorry for O/T

[stevea171] 20/8/2018 15:47

HOC is in transition from the years of going into debt to buy out the 40% minority shareholdings in Inmaculada and Pallancata from IMZ and the $450 million plus capital outlay for development of the mine and processing facility at Inmaculada.

HOC has been belt tightening for the past 5 years or so now to reduce costs and maximise repayments of this debt. This is well advanced and the company should be net cash balance positive in the first half of next year (net debt currently $67 million).

HOC paid off its $295 million outstanding company bonds in January and partly replaced them with mt and st bank loans of $100 million and $50 million plus the balance of the st loan o/s of $57 million but has incurred a charge of $11 million for paying off the bonds early.

Inmaculada, Pallancata and San Jose are performing well but Arcata has fallen into loss making last year and this. Production has been reducing by about half to approx 4 million Ag equiv oz this year which has had the effect of increasing AISC of the mine and sending it into losses. This is expected to continue in H2/18 and the earliest there can be a turn around would be some time next year unless the company changes tack. It has been investing in recent exploration with some success and is looking to bring some newly discovered narrow veins into production maybe by year end which could improve production and AISC for next year. The company is addressing this issue but we will have to wait and see with what success.

Current PM prices, if they persist for any length of time will squeeze profits in H2/18. Inmaculada (50% of total production) is a very low cost mine and is well able to support other operations.

[ifthecapfits] 20/8/2018 12:56

Yes DT just maybe.

[dt1010] 20/8/2018 12:54

Great counter indicator, everyone pile
On in....;)

[davidspringbank] 20/8/2018 10:52

I don't think the bottom will be in for a while yet.

[dt1010] 20/8/2018 09:47

Hahaha well at least next year on 15 times forward earnings this will be cheap...and it will grow in price ahead of that rating...so up we go, cough ;)

[goldenshare888] 20/8/2018 08:18

We should have all bought pharma shares as a hedge against depression in pm sector!!!

LOL

:-))

NB. It will no doubt get better.................

[dt1010] 19/8/2018 20:34

They’re antidepressants and mood stabilisers ;) I think I’ll be fine. Bit of a toke now and again lol

[onedayrodders] 19/8/2018 14:33

I think you need different tablets

;o)