Baroyeca Gold and Silver (BGS) - Technical Analysis & Due Diligence

Baroyeca Gold and Silver Inc. is a mineral exploration company, focused on its high-grade silver and gold projects located in Colombia. The company’s flagship project, the Atocha project, is a 2,600-hectare silver and gold project located in the Falan Municipality of Columbia. The Santa Barbara project of the company holds a land position of 320 hectares and is located at the northern tip of the Serranía de San Lucas, which is considered one of the richest gold belts in Colombia. The Zapatoca project of the company holds a land position of 4000 hectares and lies 40 km southwest of the departmental capital city of Bucaramanga in Colombia.

Baroyeca Gold and Silver Inc. on the 13th of July 2022, released additional assay results from its phase 2 drilling program at its Atocha project. The assay results of the first hole drilled at the project showed the interception of two stacked veins roughly 10 m apart from each other. The upper vein returned assay results of up to 238 g/t of silver equivalent (AgEq) over 0.25 m with the lower vein showing mineralisation of up 413.8 g/t of silver (708.03 g/t AgEq) over an interval of 0.3 m.

The company also recently announced that it had resumed bulk sampling at its Santa Barbara gold project. The company’s pilot plant has processed approximately 10 tons of mineralized material, with the pouring of the first gold also occurring at the project. The assay results show a 69.53% gold recovery with a head grade of 18.20 g/t of gold.

Baroyeca Gold and Silver Inc. further announced on the 19th of July 2022, that it had joined the Discovery Group, an alliance of publicly traded mineral exploration companies. The company believes that by forming part of the group it is able to benefit from the group's industry experience and as such generate more shareholder value.

Management Team

The company is led by Rick Wilson who serves as Chief Executive Officer (CEO) of Baroyeca Gold and Silver Inc. Wilson has been involved in the resource industry for more than 20 years and as such possesses a vast amount of experience in the mining exploration industry. Wilson previously served as the President of Emerson Explorations/GBS Gold International Inc. from 1998 to 2006. He is currently also director, president, and CEO of Nevada Energy Metals Inc., a lithium-brine exploration project generator.

Raul Sanabria serves as director and president of the company’s board. Sanabria holds more than 20 years of experience in the mining and exploration industry and has been involved with various projects and operations spanning Europe, West Africa, Canada and Central and South America. He is a Ni 43-101 Qualified Person and has been developing projects in Columbia since 2010. Sanabria has held various senior management positions throughout his career including serving as Vice President (VP) of Exploration for American Creek Resources, G4G Resources, Northern Iron Corp, and as Principal Geologist and CEO for Condor Precious Metals Inc. He also currently serves as the VP of Exploration for Ares Strategic Mining.

Douglas Eacrett is the Chief Financial Officer, Company Secretary and Director of Baroyeca Gold and Silver Inc. Eacrett has been a member of the Law Society of British Columbia as well as a member of the Chartered Professional Accountants Association of British Columbia for over 40 years. He is a practising corporate and securities lawyer and has previously been a director and officer of various publicly traded companies.

Martha Cecilia Delgado Niño is the General Manager as well as Legal Counsel for the company’s Columbian projects. She specialises in corporate and administrative law with extensive experience in the mining law of Columbia. She has been a lawyer for over 20 years in the country.

William T. Carr also forms part of the company’s board of directors and has been involved in the mining finance industry for more than 40 years. Carr also serves as president of Auriga Capital Corporation in New York. John Robins and Paul Harris round out the company’s management team and serve as advisors to the board. Robins is a professional geologist and has more than 35 years of experience in the mining industry. He is a previous recipient of the AMEBC Spud Huestis award in honour of his contributions to mineral exploration in British Columbia and the Yukon. Harris had more than 20 years of experience in the mining sector in investor relations, communications, research and news reporting roles. He has been involved in the Columbian gold sector for more than 13 years.

Projects

Baroyeca Gold and Silver Inc. hold three projects in Columbia namely the Atocha, Santa Barbara and the newly discovered Zapatoca projects. The company is focused on advancing its Columbian projects, due to the country’s ease of doing business and its focus on the development of its mining industry. Columbia has the lowest cost of discovery and production globally, with approximately 50 million ounces of gold discovered in the country in the last 15 years.

The Atocha project of the company is a 2,600-hectare land package located in the northern Tolima district of Columbia. The area is known as the richest silver district in Columbia and has more than 300 years of mining history. The project’s regional structures produce clusters of very high-density veins with extensive high-grade silver-gold exposures at its surface. The project also hosts high exploration potential, with 50% of the property being under or never explored. The company is currently underway with a phase 2 drilling program at the project.

The Santa Barbara project of the company is a 320-hectare land package located at the northern tip of the Serranía de San Lucas in Columbia. The area is known as the richest gold belt in Colombia. The previous exploration initiatives of the company at the project include intercepting 27.81 g/t of gold in conducted surface sampling initiatives as well as channel samples from the project’s exploratory tunnel having returned gold values of up to 102.42 g/t of gold. The average grade of the surface and channel exploration initiatives samples is 38.91 g/t of gold. Baroyeca Gold and Silver Inc. in September 2021, completed a 500-ton bulk sampling initiative at the project. The average head grade obtained from the bulk sample was approximately 24 g/t of gold retrieved from the project’s Santa Barbara vein.

The company’s most recent project, the 4000-hectare Zapatoca Copper project is located 40 km southwest of the departmental capital city of Bucaramanga. The project is the first occurrence of sedimentary-hosted copper in the district. The mineralisation of the project is hosted in disseminated veinlet copper carbonates which are constrained in siliciclastic sedimentary rock units. The mineralisation is a first for Columbia, showing the uniqueness of the project.

Atocha project drilling

Baroyeca Gold and Silver Inc. on the 13th of July 2022, released additional assay results from its phase 2 drilling program at its Atocha project. The assay results of the first hole drilled at the project showed the interception of two stacked veins roughly 10 m apart from each other. The upper vein returned assay results of up to 238 g/t of silver equivalent (AgEq) over 0.25 m with the lower vein showing mineralisation of up 413.8 g/t of silver (708.03 g/t AgEq) over an interval of 0.3 m.

The phase 2 exploration drilling has also intercepted a strongly weathered vein zone. The exploration drilling has intercepted mineralisation of 986.58 g/t of AgEq over an interval of 0.4 m as well as 210.33 g/t of AgEq over 0.5 m.

The phase 2 exploration drilling has been able to intercept mineralisation similar to that previously encountered at the project’s La Ye target.

Santa Barbara project

The company on the 13th of July 2022 announced that it had resumed its bulk sampling initiatives at its Santa Barbara project. The first bulk sample taken at the project which consisted of approximately 10 tons of mineralised material has been processed at the project’s pilot processing plant. The processed material has been refined and resulted in the pouring of a gold doré bar at the project.

The assay analysis of the processing plant has shown an average head grade of 18.20 g/t of gold with the production of 130.4 grams of gold at a purity of 99.8% on-site. The processing facility has been able to obtain a recovery rate of 69.53%.

Discovery Group

Baroyeca Gold and Silver Inc. announced on the 19th of July 2022, that it had joined the discovery group of companies. The discovery group is an alliance of public companies focused on the advancement of mineral exploration and mining projects. The group was founded in 2005 and consists of companies such as Elemental Royalties Ltd., Gold Basin Resources Corporation, Great Bear Royalties Corp., K2 Gold Corp. and ValOre Metals Corp. The company believes that by joining the group it will be able to benefit from the industry experience of the members of the Discovery Group.

Future

Baroyeca Gold and Silver Inc. will in the future continue with its exploration initiatives at its Atocha project. The company will aim to expand the project's mineralisation through exploration drilling in the northeast section of the project. The aim of the exploration drilling is the establishment of a vein corridor of more than 1 km.  

The company is also underway with the upgrading of the underground tunnels of its Mariana Mine of the Santa Barbara project. The upgrades are aimed at speeding up access to the unaltered portions of the vein system below the Saprock boundary of the project, which will enable the continuation of the bulk sampling program in the area immediately west of the pilot processing plant.

Baroyeca Gold and Silver Inc. will in parallel with it continuing to advance its projects in the coming year also attempt to discover and advance new projects. The company believes that due to Columbia only consisting of a total of 3% to 4% mining concessions in relation to the country’s total area as well as only 10% of its area possessing mining obligations, the country holds vast exploration potential. 

To find out more, go to the Baroyeca Gold & Silver website