On February 24, 2016, the Company terminated the option agreement on the GDLR Project after conducting an initial drill program and an in-house economic evaluation on the project. It was determined that the potential of the project was less than anticipated and the economics of the project did not warrant continued exploration work.On February 22, 2016, the Company provided an update to the Mineral Resource at the GMC, with effective dates of July 31, 2015 for the Guanajuato Mine and El Horcón,Uggs tierquälerei and December 31, 2015 for the San Ignacio Mine. Measured Mineral Resources were estimated at 4,330,941 Ag eq oz, Indicated Mineral Resources were estimated at 1,778,275 Ag eq oz, and Inferred Mineral Resources were estimated at 11,535,680 Ag eq oz.
The information is presented in summarized form and reference should be made to the full text of the technical report which is available for review under the Company’s profile on SEDAR located at On February 15, 2016, the Company reported a fatality of a contract scoop tram operator that occurred at the GMC.Uggs tierquälerei All relevant authorities were contacted and a formal investigation into the cause of the accident was conducted. The investigation is now closed. Safety procedures were reviewed and reinforced as safety remains the top priority across all operations.During February 2016, the Company met with representatives of CONAGUA, the Mexican federal agency responsible for water administration, who have asserted that the Company is required to make applications for permits associated with the occupation and construction of the tailings facility at the GMC (the “Tailings Permits”).
During this meeting, CONAGUA officials identified no issues arising from the outstanding Tailings Permits and requested that the Company complete its applications. The Company believes its current tailings capacity at the GMC is sufficient to operate and no expansions will be required until the fall of 2016. Although the Company expects the Tailings Permits to be granted in due course without any impact to the ongoing operations, there is no guarantee that the Company will receive any of the Tailings Permits,Uggs tierquälerei or that the terms of such permits will be favourable to the Company.The failure to obtain a required permit could impact the Company’s ability to continue operating the tailings facility at the GMC.