Starcore International Mines Signs LoI to Lease Tortilla Project in Mexico
Canadian miner Starcore International Mines has recently made a significant move by signing a non-binding letter of intent (LoI) with Manuel Felipe Arreguin Martinez to lease the San Juan Nepomuceno project, also known as the Tortilla project, in Queretaro, Mexico. This lease agreement is set to last for ten years, until 2034.
The Tortilla project comprises six mineral claims and two properties, making it a valuable asset for Starcore International Mines.
As part of the lease agreement, Starcore will be paying Manuel Felipe Arreguin Martinez 5 million pesos ($268,500). The payment structure includes 2 million pesos due upon the signing of the definitive agreement, followed by monthly payments of 500,000 pesos over the next six months.
Upon the completion of all payments, Manuel Felipe will receive a 2% net smelter return (NSR) from the mineral production at the Tortilla project. Additionally, during the lease period, Manuel Felipe retains the option to sell all claims and concessions to Starcore at a purchase price of $7 million.
The Tortilla project, located 150km from Santiago de Queretaro and surrounded by other mining operations, boasts a rich history of mining activity dating back to 1557. The site was actively mined until 1870, with the deposit initially known as El Doctor Mine. British interests later resumed exploration in the 19th century, but their operations were short-lived, and no historical production records exist.
Starcore President and CEO Robert Eadie expressed optimism about the potential of the Tortilla project, stating, “Although there are no historical production records, based on the size of the old mine sites and average ore grades, we believe we have an excellent opportunity to capitalize on the untapped potential of the Tortilla project, especially with the attractive price of silver, which has been steadily increasing for years. Our exposure is minimal, and the possibilities could be extremely rewarding.”
In addition to the Tortilla project, Starcore International Mines has been active in exploration activities. In June 2024, the company commenced exploration activities at the Kimoukro permit in central Cote d’Ivoire, located 30km south of the capital, Yamoussoukro.
This article, “Starcore signs LoI to lease Tortilla project in Mexico,” was originally created and published by Mining Technology.
The information provided here is for general informational purposes only and should not be taken as advice. It is recommended to seek professional advice before making any decisions based on the content.
