MGX Minerals Inc (CSE:XMG) (OTCPINK:MGXMF) revealed that it has mobilized a field crew to the Heino-Money deposit and Tillicum claims in British Columbia.
The Vancouver-based company acquired the formerly producing Heino-Money project earlier this month and aims to complete an NI 43-101 technical report in June.
MGX said the field crew, which includes its vice president of exploration and vice president of operations, has cleared 11 kilometres of mine access road at the end of an active logging road that connects to the British Columbia highway network. The road is in “excellent condition” and looks to be sufficient to haul material from the project, the firm said in a statement.
MGX’s field crew reached the previously constructed 75-person camp and is currently evaluating the existing structures on the property. Of particular importance is the core storage facility where nearly 40,000 metres of diamond drill core is reported to be stored.
Over 400 diamond drill holes were sunk on the property by previous owners, nearly half of which were drilled from five levels of underground development. The field crew will try to reach the multiple existing mine portals in the coming weeks, MGX added.
Heino-Money was active between 1981 and 1993 and produced around 5,800 tons of gold and silver ore. In its last year of operation, 5,503 tons of mineralization with an estimated head grade of 24.4 grams per ton gold was shipped to a mill for processing, and approximately 102,443 grams of gold and 149,546 grams of silver were recovered into concentrates that were shipped to Japan for smelting.
In other corporate news, MGX said it has appointed its vice president of operations, Neil Foran as interim CFO. Additionally, Preston McEachern has resigned as CEO of MGX’s majority-owned subsidiary PurLucid Treatment Solutions (Canada) Inc. The company said it expects to appoint a new CEO shortly.
MGX also responded to recent news releases it deems inflammatory being put out by a group of dissident shareholders.
“These actions threaten the important initiatives underway to maximize the company's potential, and to undermine shareholders' rights, and continue to divert resources away from the company's operations,” MGX told investors in a statement.
“While MGX's management remains focused on adding value to the company, MGX is working to ensure that the interest of the public and all shareholders are protected and will not hesitate to take legal action as required to defend the interests of its shareholders.”
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