Almaden Responds to Court Submissions by Mexico’s Ministry of Economy to Deny Twenty Year-Old Ixtaca Mineral Title Applications
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NEWS RELEASE
February 22, 2023
Trading Symbols:
TSX: AMM; NYSE American: AAU
www.almadenminerals.com
Almaden Responds to Court Submissions by Mexico’s Ministry of Economy to Deny
Twenty Year-Old Ixtaca Mineral Title Applications
Vancouver, B.C. Almaden Minerals Ltd. (“Almaden” or “the Company”; TSX: AMM; NYSE American: AAU)
wishes to advise stakeholders that it has recently learnt that Mexico’s Ministry of the Economy (“Economia”) has
made a submission to the second district court in Puebla State (the “District Court”) to deny the two mineral title
applications which were first made by Almaden in 2002 and 2008, and which in turn led to the grant of mineral
titles in 2003 and 2009, respectively. These mineral titles underpin the Ixtaca deposit which was discovered by
Almaden in 2010. As previously reported, these mineral titles were reduced to application status as a result of an
early 2022 decision of Mexico’s Supreme Court of Justice (“SCJN”). The District Court is implementing the SCJN
decision.
Almaden believes that this action by Economia is inconsistent with the Mexican Mining Law, the SCJN decision,
and international law. The Company expects to submit arguments challenging Economia’s submissions to the
District Court within the next few days. Further legal action is currently being studied.
By way of background, Almaden’s mineral claims covering the Ixtaca project were used as the basis of a lawsuit
by a third party against the Mexican government (President, Congress, Ministry of Economy, Directorate of Mines,
Mining Registry Office) asserting that the Mexican mining law is unconstitutional. In February, 2022, the SCJN
ruled that Mexico’s mineral title law is constitutional, but that before issuing Almaden’s mineral t itles in 2003 and
2009, Economia should have provided for a consultation procedure with relevant indigenous communities.
In April, 2022, the SCJN provided additional detail regarding the procedures required to be followed by the
Mexican government in the performance of indigenous consultation prior to the grant of mineral claims. The SCJN
also clarified that the Company’s original claim applications were su bmitted pursuant to the legal framework in
force at the time and that Almaden’s mineral rights at the Ixtaca project were safeguarded while the mining
authorities comply with the SCJN decision.
In July 2022, the Company announced that , as required by the SCJN, Economia had notified Almaden that the
Company’s mineral titles relating to the Ixtaca project were “ineffective”. The Company underst ood this to mean
that the mineral title reverted to application status, and that these applications preserve the mineral rights for
Almaden but do not allow the Company to engage in exploration, until such time as Economia completes its court-
ordered indigenous consultation in the area covered by the mineral title applications.
The Company has now received notice t hat Economia has reviewed the original claim applications on file and
resolved, despite acting to the contrary in 2003 and 2009, that the applications contain technical faults which
preclude the grant of the mineral claims. Economia is therefore seeking to deny the grant of the mineral claims
prior to engaging in the indigenous consultation ordered by the SCJN . Economia’s resolution has not yet been
accepted by the District Court.
Almaden wil l continue to support the indigenous consultation mandated by the SCJN and assert its rights as
appropriate.
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Duane Poliquin, Chair of Almaden, stated “It is stunning that up to twenty years after initially granting the claims
on the basis of the original applications, Economia has now changed its mind and decided that those same
applications are insufficient and do not support the award of the mineral titles. The Government of Mexico has
received over CAD$2.3 million in claim taxes and overseen approximately CAD$60 million in investment since the
mineral titles were originally granted. This effort by Economia is a stark warning to all those who value a predictable
and stable mineral tenure regime in Mexico.”
Duane Poliquin continued “We can accept that tenure systems evolve and that Mexico needed to redress the
harms it has caused to Mexican indigenous communities and peoples, by not properly implementing ILO 169 and
guaranteeing their human right to free, pri or, and informed consultation. However, this decision by Economia
attempts to pre-empt the indigenous consultation ordered by the SCJN, which Almaden is confident will allow the
principal host communities to express their strong support for the project.”
About Almaden
Almaden Minerals Ltd. owns 100% of the Ixtaca project in Puebla State, Mexico, subject to a 2.0% NSR royalty
held by Almadex Minerals Ltd. The Ixtaca deposit hosts a proven and probable reserve containing 1.38 million
ounces of gold and 85.1 million ounces of silver (73.1 million tonnes grading 0.59 g/t Au and 36.3 g/t Ag). A
report titled “Ixtaca Gold-Silver Project, Puebla State, Mexico NI 43-101 Technical Report on the Feasibility Study”,
which was prepared in accordance with NI 43 -101, is available under the Company’s profile on SEDAR and on
the Company’s website. The Ixtaca Gold-Silver Deposit was discovered by Almaden in 2010.
On Behalf of the Board of Directors,
“J. Duane Poliquin”
J. Duane Poliquin
Chair
Almaden Minerals Ltd.
Safe Harbor Statement
Certain of the statements and information in this news release constitute “forward -looking statements” within the meaning of
the United States Private Securities Litigation Reform Act of 1995 and “forward -looking information” within the meaning of
applicable Canadian provincial securities laws. All statements, other than statements of historical fact, are forward -looking
statements or information. Forward-looking statements or information in this news release relate to, among other things, the
decision of the District Court in respect of the submissions of Economia that the court deny Almaden’s 2002 and 2008 mineral
title applications, any further legal action by Almaden, completion of indigenous consultation by Economia and community
support for the Ixtaca project.
These forward-looking statements and information reflect the Company’s current views with respect to future events and are
necessarily based upon a number of assumptions that, while considered reasonable by the Company, are inherently subject
to significant legal, regulatory, business, operational and economic uncertainties and contingencies, and such uncertainty
generally increases with longer-term forecasts and outlook. These assumptions include: stability and predictability in Mexico’s
consultation process with indigenous communities and judicial decisions thereon; stability and predictability in Mexico’s mineral
tenure, mining, environmental and agrarian laws and regulations, as well as their app lication and judicial decisions thereon;
continued respect for the rule of law in Mexico; prices for gold, silver and base metals remaining as estimated; currency
exchange rates remaining as estimated; availability of funds; capital, decommissioning and re clamation estimates; mineral
reserve and resource estimates; prices for energy inputs, labour, materials, supplies and services (including transportation) ;
no labour-related disruptions; all necessary permits, licenses and regulatory approvals being received in a timely manner; the
ability to secure and maintain title and ownership to properties and the surface rights necessary for operations; community
support in the Ixtaca Project; and the ability to comply with environmental, health and safety laws. The foregoing list of
assumptions is not exhaustive.
The Company cautions the reader that forward -looking statements and information involve known and unknown risks,
uncertainties and other factors that may cause actual results and developments to differ mate rially from those expressed or
implied by such forward-looking statements or information contained in this news release. Such risks and other factors include,
among others, risks related to: Mexico’s consultation process with indigenous communities and potential litigation in respect
thereof; political risk in Mexico; crime and violence in Mexico; corruption; environmental risks, including environmental matters
under Mexican laws and regulations; impact of environmental impact assessment requirements on the Company’s planned
exploration and development activities on the Ixtaca Project; certainty of mineral title and the outcome of litigation; community
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relations; governmental regulations and the ability to obtain necessary licences and permits; risks related to mineral properties
being subject to prior unregistered agreements, transfers or claims and other defects in title; changes in mining, environmental
or agrarian laws and regulations and changes in the application of standards pursuant to existing laws a nd regulations which
may increase costs of doing business and restrict operations; as well as those factors discussed the section entitled "Risk
Factors" in Almaden's Annual Information Form and Almaden's latest Form 20-F on file with the United States Securities and
Exchange Commission in Washington, D.C. Although the Company has attempted to identify important factors that could affect
the Company and may cause actual actions, events or results to differ materially from those described in forward -looking
statements or information, there may be other factors that cause actions, events or results not to be as anticipated, estimated
or intended. There can be no assurance that our forward -looking statements or information will prove to be accurate.
Accordingly, readers should not place undue reliance on forward-looking statements or information. Except as required by law,
the Company does not assume any obligation to release publicly any revisions to on forward-looking statements or information
contained in thi s news release to reflect events or circumstances after the date hereof or to reflect the occurrence of
unanticipated events.
Contact Information:
Almaden Minerals Ltd.
Tel. 604.689.7644
Email: [email protected]
http://www.almadenminerals.com/