History of Guerrero Gold Belt
The Guerrero Gold Belt (“GBB”) is located in the State of Guerrero, Mexico, north of
Acapulco City. It extends for at least 55 Km from southeast to northwest and remains open to exploration in all directions.
The GGB today has an inventory of over 31 million* ounces of gold, which continues to increase with ongoing exploration and/or mine development by all participants currently active in the area. Newstrike’s management team was instrumental in the discovery of over eight million of those gold ounces.
Newstrike controls a 100% interest in 88,952.42 contiguous hectares strategically located on the strike extension of the emerging Guerrero Gold Belt mining camp. The company manages its land position as three contiguous projects, the advanced stage Ana Paula Project, and the early stage Aurea Norte and Aurea Sur projects.
The modern day history of the Guerrero Gold Belt commenced when gold was discovered at Xochipala in 1924 by the Franco Urias Family, who operated a small family owned mill and mine until 1988, producing a reported total of 360,000 ounces of gold (Au).
The original Nukay Mine went into production in 1947 as a small underground cut-and fill gold mining operation. Gold occurred in what was then described as manto and fissure filling vein deposits and about 500,000 metric tonnes of ore grading 18 gm/ton Au (290,000 Au oz) were extracted between 1947 and 1964 (historical records).
The 47,600-hectare Morelos Mineral Reserve was created by the Federal Mexican Government All claims in good standing in the area, such as where the Nukay, Xochipala and Bermejal projects are currently located, remained in the hands of private owners as did a few other small internal claims. Several of these privately held claims were actively mined on a small scale for narrow vein silver and for replacement gold, including the Nukay and Vianay Mines.
Joint ventures between Miranda Mining Corporation (Miranda) and Teck and between Industrias Peñoles S.A.B. de C.V. (Peñoles) and Newmont Mining Corporation (Newmont), led to the first discoveries resulting from modern exploration methods: Peñoles-Newmont’s Bermejal project (1987) and Teck-Miranda’s Los Filos project (1997).
Morelos Mineral Reserve was privatized through public auction in 1998. The following four years saw a significant increase in exploration in the former mineral reserve, leading to several new discoveries including Grupo Mexico’s Los Calles and Mina Verde deposits (now Cayden Resources Inc.) and the El Limon and Los Guajes deposits operated under the Teck-Miranda joint venture (Torex Gold Resources Inc.).
The first mine went into production in 2008 at Filos project; a combination of the original Nukay, Los Filos and Bermejal discoveries after they were acquired by Goldcorp Inc. Today, the area of the former Morelos Mineral Reserve is controlled by Goldcorp, Torex and Cayden.
Exploration by Newstrike began in 2004 and continues to redefine the Guerrero Gold Belt as originally described by the limits of the former mineral reserve. The Ana Paula discovery owned by Goldcorp and discovered by Miranda in 1997, verifies the gold potential outside the former mineral reserve.