The Globe and Mail reports that Vancouver-based First Majestic Silver was unsuccessful in its bid to acquire Vancouver-based Orko Silver Corp. and their La Preciosa silver mine in the state of Durango in Mexico. Instead, US-based Coeur d’Alene Mines Corp. was able to secure Orko.
The newspaper notes, “Coeur hopes to build La Preciosa by the end of 2016, and expects the open-pit operation to produce as much as nine million ounces of silver a year for over 19 years. …Coeur sees La Preciosa as a bet that demand for silver, both as an industrial metal and a precious metal, will rise in coming years as emerging economies in Asia, especially China and India, become more affluent.”
First Majestic will receive an $11.6-million payment from Orko as a penalty for that company breaking its original deal with them in favour of Coeur.
The Blue Planet Project is opposing First Majestic Silver which is seeking to construct a mine in the Wirikuta desert, near the town of Real de Catorce, in the state of San Luis Potosi, in Mexico. For more on that, please see http://canadians.org/blog/?p=17886.
