The Don Nicolás property is located in Santa Cruz, Argentina within the Deseado Massif geological setting. The gold and silver at Don Nicolás occurs as low to intermediate sulfidation, epithermal mineralization within sub-vertically oriented quartz-breccia veins.
The first gold doré bar was poured at Don Nicolás in September 2017 and in 2019 the mine began operating an open pit carbon-in-leach (CIL) plant with mineralized material produced from deposits in the Paloma and Martinetas regions. In 2023, a heap leach operation was added to process the mineralized material from Calandrias Sur open pit.
Results from the Preliminary Economic Assessment (PEA) were announced in August 2024. The PEA focused on the development and mining of the Calandrias Norte open pit to be processed through the existing 1,000 tpd CIL plant and the ongoing operations and expansion of the Calandrias Sur heap leach operations. In addition, the PEA envisions the development of an initial small-scale underground mining operation and the processing of low-grade mined material in the Martinetas area from several stockpiles.
Cerrado reported combined underground and open pit Measured & Indicated Resources as of April 1, 2024, of 13.4 Mt grading 1.1 g/t gold and 15.3 g/t silver containing 490.3 koz gold and 6.6 Moz silver (based on variable cut-off grades). For additional information, visit www.cerradogold.com.
Sandstorm’s royalty is capped at $2 million and covers a portion of the Don Nicolás property claims. Sandstorm acquired the royalty as part of its acquisition of Premier Royalty Inc. in 2013.
