Aug 12 2014
DynaResource, Inc. ("DynaUSA," and "the Company") is pleased to announce that Mineras de DynaResource S.A. de C.V. ("MinerasDyna"), the 100% owned subsidiary of DynaUSA and the exclusive operator of the San Jose de Gracia Property in northern Sinaloa, México ("SJG"), is reporting the delivery for sale of an additional and approximate 205 Oz. gold contained in gravity concentrates (exact weights in gold and silver oz. to be determined at final settlement).
The production of the estimated 205 Oz. gold was accomplished from mill runs completed over a 10 day period ending August 7, from approximately 1,200 tons of mineralized feed material which was processed through the gravity circuit of the Pilot Mill Facility at SJG. MinerasDyna further reports that approximately 1,175 tons of gravity tailings, remaining after the gravity concentration, will be re-processed through the gravity circuit for metallurgical purposes; and will be further processed through the flotation circuit of the SJG Pilot Mill Facility. MinerasDyna estimates the refurbished flotation circuit to come on line in August. MinerasDyna further reports the total amount of mineralized material processed in Mill Campaigns conducted this year of: (1) April-May; approximately 2,500 tons processed; (2) The 10 day campaign through July 25 (approximately 1,050 tons processed); and, (3) the 10 day period from July 26-August 7 (approximately 1,200 tons processed). And, MinerasDyna further reports the estimated amount of Tailings remaining from the gravity concentration, and which material will be re-processed is approximately 4,000 Tons. Internal assays report: (a) an average feed grade for the mill runs of approximately 12.0 g/t Au; and, (b) an average grade for the mineralized material to be re-processed (gravity tailings) of approximately 6 g/t.
MinerasDyna estimates approximately 50% of the recoverable gold contained in the mill feed material mined from San Pablo Mine to be recovered in the gravity concentrate (considering results reported in the mill campaigns of 2014, and based on historical data compiled from the 2003-2006 Period; See "DynaUSA-DynaMéxico" below). MinerasDyna further reports the continuation of contract mining at San Pablo, where internal assays report the average gold grade of mined material delivered to the Mill of 12.5 g/t; including grades up to 364 g/t.
MinerasDyna - Previous Deliveries for Sale of Gold Oz in Concentrate
On May 9, 2014, MinerasDyna reported the delivery for sale of approximately 236 Oz gold contained in concentrates (See DynaUSA news release of May 9, 2014).
On June 18, 2014, MinerasDyna reported the delivery for sale of approximately 511 Oz gold contained in concentrates (See DynaUSA news release of June 18, 2014).
On July 31, 2014, MinerasDyna reported the delivery for sale of approximately 200 Oz gold contained in concentrates (See DynaUSA news release of July 31, 2014).
MinerasDyna - Mine Plan and Mill Operations (Pilot Operations)
MinerasDyna is conducting operations at SJG according to internally developed mine plans and through the internally designed SJG Pilot Mill facility (consisting of a basic gravity-flotation circuit) which was previously operated by DynaResource during the 2003-2006 period. There is no preliminary economic assessment report completed for SJG so the precise cutoff grade for underground mining has not yet been determined. The operations are being funded internally by MinerasDyna and DynaUSA. The mine plan was developed from the block model of resources as defined in the DynaMéxico NI 43-101 Mineral Resource Estimate ("See Current NI 43-101 Mineral Resource Estimate for SJG", below); and from the analysis of underground mining works conducted in 2003-2006. The operations at SJG are managed by Dr. Jose Vargas Lugo, President of México Operations for Mineras and DynaUSA.
MinerasDyna - Exclusive Operating Entity at San Jose de Gracia (DynaUSA Owns 100%)
Under the provisions of Operating Agreements between MinerasDyna and DynaMéxico (originating in 2005), including the Exploitation Amendment Agreement dated May 15, 2013 ("EAA"); MinerasDyna is named the exclusive operating entity at the SJG Project. Under the terms of the EAA, MinerasDyna retains the rights to finance, operate, maintain, explore and exploit the SJG Property. (See DynaUSA news release dated June 21, 2013.) DynaUSA owns 100% of MinerasDyna.
DynaMéxico Ownership - DynaUSA owns 80%
DynaUSA currently holds 80% of the total outstanding Capital of DynaMéxico.
MinerasDyna - 20 Year Land Lease Agreement
On January 6, 2014, MinerasDyna entered into a 20 year land lease agreement (The "20 Year Land Lease") with the Santa Maria Ejido Community ("SJG Ejido") surrounding SJG.
The 20 Year Land Lease covers an area of 4,399 hectares surrounding the main mineral resource areas of SJG, and provides for annual lease payments by MinerasDyna of $1,359,443 Pesos (approx. $104,250.USD). (See DynaUSA news release dated January 13, 2014).
DynaMéxico - Mining Permit
(Permission to Exploit and conduct mining activities at the San Pablo Area of San Jose de Gracia; Issued by the Federal Environmental Authority in México-SEMARNAT)
On September 30, 2013, DynaMéxico received from the Secretaria de Medio Ambiente Y Recursos Naturales, the Federal Environmental Authority in México ("SEMARNAT"), the approval and permission which allows for the exploitation and mining activities at the San Pablo Area of SJG ("the Semarnat-SJG San Pablo Exploitation Permit"). (See DynaUSA news release dated October 3, 2013).
DynaMéxico - Pilot Mill Permit
(Permission to Operate Pilot Mill Facility at SJG; Issued by the Federal Environmental Authority in México-SEMARNAT)
On June 17, 2013 DynaMéxico received from "SEMARNAT", the approval and permission which allows for the rehabilitation and operation of the pilot mill facility at SJG ("the Semarnat-SJG Mill Permit"). (See DynaUSA news release dated June 28, 2013.)
DynaUSA - DynaMéxico
DynaUSA is a Resource Investment and Management Company based in Irving, Texas, with a current focus on the San Jose de Gracia Project in Sinaloa México ("SJG"), targeting growth in the exploration, defining and production of predominately gold resources. The Company founded DynaResource de México S.A. de C.V. ("DynaMéxico") in March 2000 specifically for the purpose of acquiring and consolidating the SJG District; and it completed the consolidation of the entire SJG District to DynaMéxico in 2003 (approx. 15 sq. km. at that time), with the exception of the San Miguel Mining Concession (7 Hectares, for which DynaMéxico is proceeding towards accomplishing the transfer of title to DynaMéxico, under previously signed sale and purchase agreements). During the period 2003-2006, DynaMéxico conducted pilot production operations at the San Pablo area of SJG, reporting production results of: 18,250 Oz. Gold sold; 42,000 tons mill feed; average feed grades of 15-20 g/t Gold; and, average production costs of less than $175./Oz. Gold.
DynaResource Management Team
In a prior news release dated May 15, 2013, the Company announced the promotion of Dr. Jose Vargas Lugo to the position of President of México Operations. Dr. Vargas is a Mexican National and licensed physician, has worked with DynaResource for over 12 years, and is an integral part of company operations in México.
In a prior news release dated September 19, 2013, DynaUSA announced the appointment of Mr. Chad Mooney to the position of Executive Vice President-Capital Markets. Mr. Mooney previously built a top 10 business at Smith Barney, and he reported directly to his mentor, Mr. Jamie Dimon, the current Chairman and CEO of JP Morgan Chase.
In a prior news release dated January 29, 2014, the Company announced the appointment of Mr. David S. Hall, CPA to the position of Executive Vice-President and Chief Financial Officer of DynaUSA. Mr. Hall was formerly the owner and CEO of the Hall Group CPA's, a certified public accounting and auditing firm in Dallas, Texas, which served as the public auditing firm for DynaUSA since 2004.
Operator MinerasDyna Accounts Receivable from DynaMéxico
As of August 11, 2014, Operator MinerasDyna reports a current accounts receivable from DynaMéxico of $4,000,000 USD.
DynaMéxico - President Holding General Powers of Attorney
The Chairman-CEO of DynaUSA, who also serves as the President of DynaMéxico, holds broad powers of attorney ("POA's") for DynaMéxico which were granted and ratified by the shareholders of DynaMéxico in several written acts of the shareholders.
San Jose de Gracia ("SJG")
The San Jose de Gracia District, currently covering an area of 69,121 Hectares, is 100% owned by DynaResource de México, S.A. de C.V. ("DynaMéxico"). DynaUSA currently holds 80% of the outstanding shares of DynaMéxico.
In excess of one million ounces gold was reportedly produced from the SJG District in the early 1900s, originating from high grade gold veins, including approximately 470,000 Oz. gold reportedly produced from the La Purisima area of SJG at an average gold grade of 66.7 g/t. In June 2010, the SJG Project was recognized by the State of Sinaloa as the most significant Gold Project in the State for the year 2010.
National Instrument 43-101 ("NI 43-101") Technical Report for DynaMéxico - SJG
DynaUSA received from DynaMéxico on March 28, 2012 a National Instrument 43-101 ("NI 43-101") compliant Technical Report for the San Jose de Gracia Project (the "2012 DynaMéxico Luna-CAM SJG Technical Report," the "Technical Report"), and approved by DynaMéxico, the 100% owner of SJG. The 2012 DynaMéxico Luna-CAM SJG Technical Report was prepared by Mr. Ramon Luna, BS, P.Geo., of Servicios y Proyectos Mineros, Hermosillo, México and a Qualified Person as defined under NI 43-101; and by Mr. Robert Sandefur, BS, MSc, P.E., a senior reserve analyst for Chlumsky, Armbrust & Meyer LLC, Lakewood, CO., and a Qualified Person as defined under NI 43-101. The 2012 DynaMéxico Luna-CAM SJG Technical Report includes as Section Fourteen (14) a Mineral Resource Estimate for SJG as prepared by Mr. Sandefur (the "2012 DynaMéxico-CAM SJG 43-101 Mineral Resource Estimate", and, the "Mineral Resource Estimate"). DynaUSA filed the Technical Report on SEDAR (www.sedar.com) on March 28, 2012.
DynaUSA received from DynaMéxico on December 31, 2012, an updated NI 43-101 compliant ("NI 43-101") Technical Report for the San Jose de Gracia Project (the "Updated 2012 DynaMéxico Luna-CAM SJG Technical Report, and the "Updated Technical Report"). The Updated Technical Report was approved by DynaMéxico, and filed by DynaUSA with SEDAR on December 31, 2012. (See DynaUSA news release dated January 10, 2013.)
National Instrument 43-101 ("NI 43-101") Mineral Resource Estimate for SJG
The 2012 DynaMéxico-CAM SJG Mineral Resource Estimate concentrates on four separate main vein systems at SJG: Tres Amigos, San Pablo, La Union, and La Purisima. The Mineral Resource Estimate includes the following Resources:
"Indicated Resources":
(1) Tres Amigos; 893,000 tonnes with an average grade of 4.46 g/t, totaling 128,000 Oz. Au;
(2) San Pablo; 1,308,000 tonnes with an average grade of 6.52 g/t, totaling 274,000 Oz. Au.;
"Inferred Resources":
(1) 3,953,000 tonnes in aggregate for the four main vein systems, with an average grade of 5.83 g/t, totaling 741,000 Oz. Au.
The Effective Date of the 2012 DynaMéxico Luna-CAM SJG Technical Reports and including the 2012 DynaMéxico-CAM SJG 43-101 Mineral Resource Estimate is February 6, 2012. The Mineral Resource Estimate is reported using a 2.0 g/t cut off grade for underground mining. As of the Effective Date of the Technical Reports and Mineral Resource Estimate, there is no economic assessment report completed for SJG so the precise cutoff grade for underground mining has not yet been determined.
Source: http://www.dynaresource.com/