Goldgroup Mining (TSX-V:GORO) has announced it will advance drilling and development programs across four North American assets following its merger with Gold Resource.
Goldgroup has completed more than 23,000m of drilling this year at the Don David Mine in Oaxaca, Mexico, where six underground rigs and one surface rig are operating.
The company says the campaign is focused on upgrading and expanding existing resources to support the mine’s longer-term production profile.
Goldgroup expects to begin drilling this quarter at the Margaritas target within the Don David district. Historical exploration identified epithermal veins containing elevated silver grades, according to the company.
At the San Francisco Gold Project in Sonora, three rigs are conducting a 24,000m diamond drilling program to refine and confirm the geological model and support mine planning.
Goldgroup says it is evaluating a potential restart of production at the end of 2026. The fully permitted project comprises two open pits, heap-leach processing facilities, and associated infrastructure.
A further three rigs are operating at the producing Cerro Prieto Mine, also in Sonora. Two are targeting resource expansion, while the third is conducting confirmatory drilling for an updated mineral resource estimate.
Goldgroup is also progressing a Feasibility Study for the Back Forty gold and silver development project in the Upper Peninsula region in Michigan, US.
CEO Allen Palmiere says integration of the Gold Resource assets is progressing as the company undertakes work across its expanded portfolio.
“Our priorities are clear: grow our resource base, optimise our operations, advance our development projects and continue pursuing opportunities that strengthen our portfolio,” Palmiere says.
Don David continues to operate in line with management expectations, while Goldgroup is assessing opportunities to increase production and improve operating efficiencies at Cerro Prieto.
Write to France Pinzon at Mining.com.au
Images: Goldgroup Mining
