RE:Fresnillo Partnership & possible takeoverSchmidilein.... If Fresnillo makes a play to get involved, it will be a game changer for Tocvan in my opinion. Fresnillo is a significant player in Mexico and are always on the hunt for properties. They have clearly taken an interest, as they have sent 4 people (2 geologists) to conduct a 30 day due diligence cycle assisted by Tocvan's geologists who have extensive knowledge of Pilar and the expansion area.
Check out Fresnillo's web site, they are a very large corporatoin with very deep pockets.
https://www.fresnilloplc.com/about-us/mining-in-mexico/
In 2021, Fresnillo had approximately 5,826 unionized employees. In addition, Fresnillo employed 12,757 contractors and 1,533 non-unionized employees that year. Fresnillo plc is a Mexico-based mining company, and the world's leading silver primary producer.
Brodie is certainly bringing together the best of the best, which recently included $1.5-million from a U.K.-based institutional investor, Sorbie Bornholm LP, on the last Private Placement, they have invested in several previous private placements with the company since 2022. Note that their last investment is a draw down arrangement of $1.5 M over the next two years at $62,500 each month. I also see that this can be accelerated with no more dilution as the price goes higher.
Sorbie has essentially de-risked Tocvan for the next two years, a relationship with Fresnillo will only further reduce the risk for shareholders.
I believe there is a lot more to come as Tocvan has drilled a total of 3,268 meters from 26 RC Drillholes and results are pending for 11 drill holes totaling 1,442.8 meters.
I really like that Brodie is contemplating a second drilling rig later this year to expedite the build out of a robust geological model and accelerate the remaining infill and step out drill holes for resource estimation. Everything has been 3D digitized, thus is should be simply a matter of plugging in the new results as they become available to calculate a Ni 43-101 compliant resource estimate.
The only question is how big is the resource?
The expansion area just acquired is very complex and will require detailed mapping and sampling over the summer. I am also confident that at the end of the due diligence process by the Major, who is currently on site and half the way through their investigation, will yield additional clues as to how the higher elevations interact with the ongoing and new Placer mining activities at lower elevations. Brodie has mentioned previously they may have found the feeder system for Placer mining.
These new discoveries would represent significant "Blue Sky" potential of adding to the resource estimate being conducted at the much smaller Pilar footprint.
We just need to shake out the flippers at this price level before the share price will move higher. Assay results should be trickling into Tocvan now, so I suspect we will see more drill holes in the near future.
June is already coming to a close and we will soon be onto the next cycle before we can blink an eye. The value proposition for Tocvan keeps getting better and better with each passing month.