There’s an old saying that goes “gold is where you find it.” This may seem overly simplistic, but it makes sense when considering that many companies have had success recently by exploring near and beneath past workings in Mexico. After all, historic mining regions are historic for a reason. Spanish conquistadors mined metal deposits in Mexico for over 300 years, but thanks to modern exploration technologies Mexico still offers tremendous discovery opportunities.
Veins of gold and silver have stretched their way across the history of Mexico since Columbus discovered this “New World.” Mexico is home to many historic mining districts, one of which is the Valley of Oaxaca. Located at the convergence of the Sierra Madre Oriental and the Sierra Madre del Sur mountain ranges, the history of Oaxaca traces its roots as far back as seven thousand years, when the land was occupied by as many as 18 diverse ethnic groups. Three of the most dominant groups were the Mixtecs, the Mixe and the Zapotecs. During the Zapoteca era, economic activity flourished with increasing hunting, fishing, mining, and artisan work fashioning silver and gold. Along with its ideal location as the gateway to Central and South America, the abundance of gold in Oaxaca is the reason for Oaxaca’s colonial era gain in prominence.
In the mid 1500’s, Hernán Cortés sent men into the Oaxaca region in search of gold and a waterway to the Pacific Ocean. They never found the waterway, but gold would serve as a driving force throughout Cortés’ life and Oaxaca’s history. In the late 1800’s, over 50 near surface mines were in production as the area grew into one of Mexico’s most important gold producers.
Newstrike is the largest holder of mineral claims in Oaxaca, the key assets being 74,000 hectares in Taviche, Lachigalla, and Ejutla mining districts. Recent discoveries in Oaxaca have been sizable, Newstrike’s claims are in proximity to Fortuna Silver’s San Jose project, which contains over 124 million ounces of silver and 1.05 million ounces of gold. Newstrike’s Etujla II claim is also contiguous on its southern boundary with Aura Silver’s Alma Delia property, host to a recently discovered Higo Blanco silver mineralized jasperoid breccia which occurs in one of the many veins of the Taviche system.