Endeavor Silver aquires Aurico mines
Wow, totaly blown away by this. In fact, I never saw this coming, though maybe I should have since they were neighbors in Mexico, but Endeavor has signed a definitive agreement with AuRico Gold to get 100% interest in the El Cubo silver-gold mine and the Guadalupe y Calvo silver-gold mine for a total consideration of $250 million. AuRico Gold, in turn, says it will shift its focus to the Young-Davidson mine it aqcuired when it bought out Northgate Minerals back in 2011. I think this great news for EXK shareholders. EXK already had several mines near Gaunajuato, namely La Luz and Veta Madre, now they have El Cubo just to the eaast of those projects. Sweet deal! EXK has stated that they wanted to grow their operations in 2012 by 60% in the Guanajuato area, and I dare say this is one way to accomplish that!
I am a bit bummed that AuRico sold these two projects. The Y-D mine has a lot of potential with gold findings of 3.46 g/t over 79m and 5.4 g/t over 54m. AuRico has other projects of note as well, with the Y-D and the Ocampo projects producing the best gold graeds, as per the 2011 R&R report.
What a Monday morning