Luca Mining and EnviroGold Global Announce MOU to Reprocess Historical Tailings at Campo Morado Mine
Luca Mining Corp.
1000 – 1111 Melville Street
Vancouver, BC, V6E 3V6,
Luca Mining and EnviroGold Global Announce MOU to
Reprocess Historical Tailings at Campo Morado Mine
Vancouver, BC, August 29, 2023
Luca Mining Corp. (“Luca” (TSX-V: LUCA | OTCQX: LUCMF | FSE: Z68) and EnviroGold Global Limited
(CSE:NVRO | OTCQB:ESGLF | FSE:YGK) (“EnviroGold Global”), a clean technology company
accelerating the world’s transition to a circular-resource economy, are pleased to announce the
signing of a Memorandum of Understanding (“ MOU”), dated 1st August 2023, to process the
tailings at Luca’s 100% owned Campo Morado Mine in Guerrero State, Mexico (the “Project”).
The scope of the initial project is to evaluate the reprocessing of the historical Campo Morado
(“Campo”) tailings that are currently being stored in Campo’s original tailings storage facility. These
tailings contain approximately 3,290,622 tonnes @ 1.32% Zn, 0.3%Cu, 0.49%Pb, 1.57g/t Au, and 94 g/t
Ag (based onLuca’s internal company estimate from historical production records).
EnviroGold and Luca will work together to develop a definitive processing agreement that will
provide a stage-gated approach to the development of the Project. The Project will follow the
standard approach with EnviroGold working with Luca to complete a preliminary economic
assessment (“PEA”).
This project follows successful pilot plant scale testwork on tailings for the Hellyer Project in
Australia (refer to EnviroGold’s news release dated June 29, 2023). The historic Hellyer Mine is also
a volcanogenic massive sulphide (“VMS”) type deposit, with very similar characteristics to Campo
Morado. The 500kg sample tested had grades of 2.59 g/t Au, 59 g/t Ag, 0.11% Cu, and 0.84% Zn.
Average gold and silver recoveries achieved by EnviroGold were both over 90%, on a cyanide leach
feed using the Leachwell TM Accelerated cyanide leach technologies. Also, 91% of the copper and
82% of the zinc contained in the tailings reported to a pregnant leach solution, suitable for
subsequent recovery and the pyrite within the sulphide minerals was broken down from 38% to
less than 1%.
Initial testwork on Campo Morado tailings samples in 2021 achieved preliminary gold recoveries of
approximately 60% using EnviroGold’s proprietary NVRO technology. This is similar to Hellyer’s
initial testing and EnviroGold will look to increase these recovery rates in the next stage of testing.
Following a definitive agreement between the parties, the initial stage of the project will include
further data and samples collection and testwork, followed by a PEA-level study and NI 43-101
Technical Report outlining the project concepts, costs, development timeline etc.
A positive outcome from this initial tailings project could lead to applying the same technologies to
the current plant and tailings stream at the Project.
Dr. Mark Thorpe (CEO of EnviroGold) commented, “ We are looking forward to working with the
Luca team. Having recently completed our pilot plant testing on the Hellyer Project, we are
confident that the NVRO process can be adjusted to work on the Campo tailings. Furthermore, it
will be a pleasure to be back working in Mexico again. ”
Luca Mining Corp.
1000 – 1111 Melville Street
Vancouver, BC, V6E 3V6,
Mr. Mike Struthers (CEO of Luca) commented, “ We’re excited to work with
EnviroGold on this project, building on the initial testwork in 2021. The encouraging results from
those initial tests, plus the very real potential to also recover base metals from the tailings, could
generate significant value from this old tailings facility. More importantly, if the initial project is
successful, the potential to add this metals recovery stream to the existing plant could add
considerable future value to Campo Morado.”
Marketing Agreement
The Company has retained the services of Robert Sinn (“Sinn”) as an investor relations consultant
to provide communication and marketing services including the redistribution of corporate news
releases via social media, production of two corporate videos and the production of featured
articles. Sinn has been paid US$25,000 effective July 7, 2023 for a 12 month term. Sinn is an arm’s-
length, independent contractor with offices in Fort Lauderdale, FL. Sinn has a background in capital
markets as a trader, portfolio manager and analyst. He is an investor and market analyst focused
on the precious metals and junior mining sectors. Over the past decade he has developed an
audience that appreciates his writing, technical analysis charts and market commentary. No stock
options were granted to Sinn in relation to this engagement.
About Luca Mining Corp.
Luca Mining Corp. is a Canadian based mining company with two 100% owned Mexican gold,
silver, and base metal mining projects.
Luca’s Tahuehueto Gold Mine Project is in north-western Durango State, Mexico where
construction of an initial 500 tonnes per day (“tpd”) operation is well advanced. The second stage,
the 1000 tpd project, will follow immediately after commissioning the initial stage. The operation
is generating gold, silver, lead, and zinc in concentrates.
Campo Morado is an operating polymetallic base and precious metals mine currently producing
at an average of 2,400 tpd, generating zinc and copper concentrates with significant precious
metals credits.
About EnviroGold Global
EnviroGold Global is a CleanTech company that uses proprietary technologies to reduce the
environmental liabilities of wastes from mining projects while maximizing return for its
shareholders. The Company is dedicated to establishing ESG and circular economy leadership by
profitably reprocessing and remediating mine waste (tailings) to recover precious, critical, and
strategic metals – including gold, silver, copper, zinc and nickel.
Visit: www.lucamining.com
On Behalf of the Board of Directors
(signed) “Mike Struthers”
Mike Struthers, CEO and Director
Cautionary Note Regarding Production Decisions and Forward-Looking Statements
It should be noted that Luca declared commercial production at Campo Morado prior to completing a
feasibility study of mineral reserves demonstrating economic and technical viability. Accordingly, readers
should be cautioned that Luca’s production decision has been made without a comprehensive feasibility study
of established reserves such that there is greater risk and uncertainty as to future economic results from the
Luca Mining Corp.
1000 – 1111 Melville Street
Vancouver, BC, V6E 3V6,
Campo Morado mine and a higher technical risk of failure than would be the case if a
feasibility study were completed and relied upon to make a production decision. Luca has completed a
preliminary economic assessment (“PEA”) mining study on the Campo Morado mine that provides a
conceptual life of mine plan and a preliminary economic analysis based on the previously identified mineral
resources (see News Release dated November 8, 2017, and April 4,2018).
Statements contained in this news release that are not historical facts are “forward-looking information” or
“forward-looking statements” (collectively, “Forward-Looking Information”) within the meaning of applicable
Canadian securities laws. Forward Looking Information includes, but is not limited to, disclosure regarding the
planned recommencement of mining operationsty6 at Campo Morado; and other possible events, conditions
or financial performance that are based on assumptions about future economic conditions and courses of
action; the timing and costs of future activities on the Company’s properties, such as production rates and
increases; success of exploration, development and bulk sample processing activities, and timing for
processing at its own mineral processing facility on the Tahuehueto project site. In certain cases, Forward-
Looking Information can be identified using words and phrases such as “plans,” “expects,” “scheduled,”
“estimates,” “forecasts,” “intends,” “anticipates” or variations of such words and phrases. In preparing the
Forward-Looking Information in this news release, the Company has applied several material assumptions,
including, but not limited to, that the current exploration, development, environmental and other objectives
concerning the Campo Morado Mine and the Tahuehueto Project can be achieved; that recommencement
of operations at Campo Morado will proceed as planned; the continuity of the price of gold and other metals,
economic and political conditions, and operations. Forward-Looking Information involves known and
unknown risks, uncertainties and other factors which may cause the actual results, performance, or
achievements of the Company to be materially different from any future results, performance or achievements
expressed or implied by the Forward-Looking Information. There can be no assurance that Forward-Looking
Information will prove to be accurate, as actual results and future events could differ materially from those
anticipated in such statements. Accordingly, readers should not place undue reliance on Forward-Looking
Information. Except as required by law, the Company does not assume any obligation to release publicly any
revisions to Forward-Looking Information contained in this news release to reflect events or circumstances
after the date hereof or to reflect the occurrence of unanticipated events.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of
the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
For further information about Luca Mining Corp., please contact:
Glen Sandwell
Corporate Communications Manager
Tel: +1 (604) 684-8071