In Might, the Colorado-based miner offered its Velardeña mine in Mexico, which had been underperforming throughout a quick interval of restart, for a $5.5 million money injection to assist it develop its different property, particularly El Quevar.
The corporate additionally just lately offered its Mexican subsidiary that owned the Velardeña Plant 1 to an entity separate from the mine’s purchaser for $445,500.
Nonetheless, Golden Minerals continues to face liquidity issues, because it famous in a press launch on Sept. 3, resulting in the sale of one other key asset. As of the top of August, it had money and money equivalents of roughly $900,000, the corporate stated.
In keeping with Golden, roughly $2.8 million remains to be owed to the corporate from the Velardeña sale. It had initially deliberate to conduct extra drilling and full a brand new technical report at El Quevar, however now believes the sale would assist alleviate its short-term monetary pressures.
The El Quevar challenge is a complicated exploration-stage asset in Argentina’s Salta province holding almost 50 million oz. in silver sources, of which 45 million oz. are within the indicated class. The challenge has a preliminary financial evaluation that gave it a web current worth of $45 million (at 5% low cost) with an inside fee of return of 17%.
Following the sale, Golden Minerals’ portfolio is left with early-stage exploration property that embrace the Yoquivo gold-silver challenge in Chihuahua, Mexico, and the Sarita Este gold-silver-copper challenge in Salta, Argentina.