Overview

The Company currently has two royalties in its portfolio.

Naranjillo

Plata Latina’s initial discovery, Naranjillo, is located in the central part of the Mexican Silver Belt in the state of Guanajuato approximately 32 kilometres north-northwest of the city of Celaya and consists of 20,655 hectares. The property is situated approximately 35-40 kilometers southeast of the Guanajuato silver and gold district, which has historically produced an estimated 1 billion ounces of silver, and is on the same structural trend that hosts Guanajuato’s veins.

Drilling at Naranjillo has discovered veins identical to Guanajuato’s Veta Madre ore bodies in mineralogy, texture and silver-gold grade. Initial drilling discovered a blind epithermal vein system with values up to 17,833 g/t silver and 71.81 g/t gold over 1.60 metres within the Company’s discovery hole, BDD-N-10, which averages 3,181 g/t silver and 13.28 g/t gold over 10.95 metres on the Villa vein.

Plata Latina signed a purchase option with Fresnillo in 2017, giving Fresnillo the option to acquire 100% of Naranjillo on the following terms:

  • Cash commitment of US$2.15 million payable over three years (paid)
  • Fresnillo required to spend US$3 million in exploration (completed)
  • Plata Latina retains upside through a 3% NSR, purchasable by Fresnillo for US$6 million
  • Plata Latina to receive advance annual royalty payments of US$100,000 (total of US$1,000,000) (currently receive)

Note: All samples and drilling results disclosed have been reviewed, approved and verified by Michael Clarke, a Qualified Person as defined under National Instrument (NI) 43-101. Mr. Clarke is the President and CEO of Plata Latina Minerals and has been a geologist for more than 40 years, including extensive work on numerous epithermal gold and silver vein deposits in Mexico.

La Joya

Plata Latina has a 2% NSR royalty on the La Joya Project with Fortuna Mining upon commencement of commercial projection. Fortuna has a right to acquire 1% of the NSR for US$1,000,000. The La Joya Project is located in the state of Hidalgo, Mexico, and is an exploration target similar to Naranjillo. The property covers 924 hectares.