Mammoth Resources

Exploring Precious Metals in Mexico’s Prolific Sierra Madre Region

This Mammoth Resources Corp. profile is part of a paid investor education campaign.*


Mammoth Resources Corp. (TSXV:MTH) is a gold-silver mineral exploration company focused on defining a mineral resource on their Tenoriba gold-silver exploration project located in the Sierra Madre precious metal belt in southwestern Chihuahua State, Mexico. The Company has partnered with Centerra Gold Inc. (“Centerra”) (TSX:CG), which has the option to earn a 70 percent interest in the property provided they spend US$9 million (C$12.5 million) in exploration expenditures over a maximum seven year period.

The prolific Sierra Madre precious metal (gold-silver) belt has historically produced 80 million ounces of gold equivalent and is home to 40 million ounces of recent gold equivalent discoveries led by such well known companies as Pan American Silver Corp. (TSX:PAAS), Agnico Eagle Mines Ltd. (TSX:AEM) and Goldcorp Inc. (TSX:G) (currently being acquired by Newmont Mining (NYSE:NEM), among others.

In 2012, Mammoth signed an option to acquire 100% of the Tenoriba property and has spent US$3 million on exploration over the past five years. To date, the company has completed an extensive mapping and sampling program, 72 kilometres of IP-magnetic geophysics, systematic PIMA sampling, 151 metres of channel sampling and 2,500 metres of drilling in 13 drill holes. In addition, 2,600 metres of historical drilling in 15 drill holes was performed by a previous company in 2008, just prior to the global financial crisis.

Looking north across the river canyon that divides the mineralized area at Tenoriba in the north, sub horizontal volcanic tuff beds (oriented by yellow lines) are rotated and displaced by normal fault planes (red). Irrespective of location to the north of Tenoriba mineralization these same faults persist to Tenoriba and are one set of controls hosting elevated gold mineralization at Tenoriba.

Extensive, multi-level artisinal mine working at El Moreno Area, Tenoriba property.

Mammoth and Centerra are in the process of developing this season’s exploration program, which could include ground IP and magnetic surveys covering the remaining 60% of the property not yet covered, additional infill mapping and sampling a review of all historical data with the objective of defining drill targets to be drilled in 2019. The objective of this work is to define additional targets for a 2019 drill program planned to commence in the first half of the year. In the long-term, the two companies will be working towards completing a NI 43-101-compliant gold-silver mineral resource estimate and a preliminary economic assessment (PEA) for the property.

Mammoth’ management team has close to 100 years of combined industry experience. Heading the team is President and CEO Thomas Atkins, who has 30 years of experience as an exploration geologist, investment banker and corporate and investor relations executive for large international mining companies. Joining him is VP of Exploration Richard Simpson, who has 25 years of experience working as a project geologist and in project evaluation for major mining companies throughout the Americas.

Company Highlights

  • Flagship project located in the Sierra Madre gold belt, which has historically produced 80 million ounces of gold equivalent.
  • 40 million ounces of gold equivalent resources have recently been discovered in the Sierra Madre gold belt by the likes of Pan American Silver, Agnico Eagle and Goldcorp, among others.
  • Partnership in place with Centerra for the exploration and development of Tenoriba.
  • Large 15 square kilometre footprint of ubiquitous gold-silver mineralization.
  • Highest gold and silver values sampled on the property graded 74 g/t gold and 62 g/t silver.
  • Mineralization appears amenable to low-cost open-pit mining and heap leach gold recovery.
  • Working towards completing a mineral resource estimate and PEA.
  • Experienced management team with close to 100 years of combined industry experience.

Tenoriba Project

The 5,333-hectare Tenoriba property is comprised of four concessions: Mapy 1, Mapy 2, Mapy 3 and Fernanda. The property is accessible by road and fixed-wing aircraft and has access to power and water yet without the potential issues of having to move any resident community.

The property is located in the prolific Sierra Madre precious metal (gold-silver) belt in the southwestern portion of Chihuahua State, Mexico. The precious metal belt has historically produced 80 million ounces of gold equivalent and, since the 1990s, 40 million ounces of gold equivalent has been discovered by companies such as Pan American Silver, Agnico Eagle and Goldcorp, and more.

Regional Map illustrating location of the Tenoriba property.

Option Agreement with Centerra

In December 2018, Mammoth Resources signed an option agreement with Centerra Gold Inc. Centerra has the option to earn a 70 percent interest in Tenoriba in two stages with total expenditure commitments of up to US$9 million (C$12 million) over a maximum seven year period (expenditures can be accelerated depending on exploration success).

Under the terms of the agreement, Centerra can earn an initial 51 percent over a period of four years. Once obtaining a 51 percent interest, Centerra can further its investment in the property to earn an additional 19 percent interest in the property over three years by completing a PEA and mineral resource estimate for the property.

Historic exploration

Between 2007 and 2008, Masuparia Gold spent approximately $2 million in exploration, including mapping, sampling with 2,586 geochemical soil and rock chip samples collected and analyzed and 2,566 metres of diamond drilling. Some of the higher grade intersections from this earlier drilling include 1.9 metres grading 45.90 g/t gold, 2.5 metres grading 9.21 g/t gold and 3.7 metres grading 5.33 g/t gold and also included some lengthy intervals such as 9.4 metres grading 1.37 g/t gold, 11.5 metres grading 2.26 g/t gold and 34.4 metres grading 1.03 g/t gold.

Masuparia Gold was also able to outline a five-kilometer by three-kilometer east to west-striking soil gold anomaly through surface sampling. To date, this anomalous gold-silver area remains open to the east and west.

Colour Contour Map illustrating anomalous gold mineralization spread over large 5 km x 3 km area at Tenoriba. 

Mammoth’s Exploration Activities

In 2017, Mammoth completed and sampled 14 channels totaling 180 metres along the five-kilometer strike length of mineralization. Notable results from the program include 7.0 metres grading 1.36 g/t gold and 13.5 metres grading 1.55 g/t gold.

The Company has also completed a 72 line-kilometre IP-Magnetic surface geophysical survey over 40 percent of the total mineralized area. The survey showed numerous features below areas of intense surface alteration and gold-silver mineralization. Additional discovery opportunities exist in the areas where Mammoth has yet to conduct the geophysics, including over a 1.2-kilometre gap between El Moreno and Masuparia, a 1.2-kilometre area that extends west from El Moreno and the mineralization that remains open to the east of Los Carneritos.

mammoth resources tenoriba geology map

Tenoriba Project Map illustrating locations of surface gold samples, sampled channels and diamond drill holes.

Additionally, Mammoth has completed a 2,500-metre drill program in 11 holes at Tenoriba with eight of 11 drill holes intersecting potentially economical grades over lengthy intervals. Notable results include: 7.2 metres grading 4.34 g/t gold equivalent at El Moreno area, 5.5 metres grading 4.99 g/t gold equivalent at Masurparia area and 25 metres grading 1.21 g/t gold equivalent at Los Carneritos area.

Contractor diamond drilling at Tenoriba – early 2018.


In 2013 and 2014, Mammoth Resources received metallurgical results indicating that the gold from the property occurs as free gold. They also showed that the mineralization has excellent gold recovery rates and that the free gold is amenable to low-cost heap leach processing. Mineralization being on surface and extending to depth, as evidenced by the drilling to-date, demonstrates the potential that the project could be mined as a low-cost open pit together with the heap leach processing.

Typical “vuggy silica” alteration at Tenoriba, a typical feature of High Sulphidation-type gold-silver deposits.

Moving forward

Mammoth Resources and Centerra are currently designing the 2019 exploration program for the upcoming exploration season. The program will likely include ground IP and magnetic surveys over the remaining 60 percent of the property not yet covered, additional infill mapping and sampling, plus some structural interpretation, and review of all historical data prior to prioritizing locations for follow-up drilling to be conducted during the year.

Mammoth Resources Management Team

Thomas Atkins — President, CEO and Director

Thomas Atkins is an accomplished mining executive who has successfully lead and financed exploration and development programs throughout the Americas over the past 30 years. He has an extensive industry background, including a degree in geology and five years of field experience in mineral exploration and mine development. Atkins also graduated with an MBA and has additional industry experience in corporate and investment banking, investor relations, corporate development and corporate governance.

As a director of investment banking for CIBC World Markets, he participated in raising over $1.7 billion in equity and debt for numerous small to large cap companies and advised on numerous M&A mandates. As a senior executive of small to large cap international mining companies, he has been responsible for planning, executing and communicating short- and long-term corporate objectives and raising capital for such initiatives. In reverse chronological order, Atkins was formerly the CEO of Rockex Ltd., Castle Gold Corp., and Crowflight Minerals Inc. During Atkins’ tenure at Castle Gold and Crowflight Minerals these companies produced returns for investors in excess of 200% annually and were cited as being amongst some of the strongest performing stocks among peers.

Errol Farr, CMA — CFO

Errol Farr is the former President, CEO and CFO of Adex Mining Inc., where he led the development plans of the Mount Pleasant mine site in New Brunswick, Canada. He is also the former CFO of MagIndustries Corp. where he participated in the development of its potash project and forestry assets, including the construction of its wood chipping mill in the port city of Pointe Noire, Republic of Congo. He is a Certified Management Accountant and has been a senior executive or director of several other junior mining companies for the past 15 years. Farr brings extensive financial, management and operational experience to the company.

Richard Simpson, P.Geo — VP of Exploration and Director

Richard Simpson is a professional geologist with more than 20 years of exploration experience throughout Latin America. He is a graduate from the Universite de Montreal with a B.Sc. in geology and has a strong background in grassroots, advanced project and mine site exploration. Simpson has worked for several major mining companies, such as Iamgold and Cambior, and juniors, including Normabec, as an exploration geologist throughout South America and Mexico. This international experience has provided him with good exposure to many geological settings and mineralization processes. Early in his career, he worked in Northern Quebec (Abitibi), Manitoba and Nunavut on numerous Volcanogenic Massive Sulphide and precious metal projects for Noranda and Aur Resources and Cambior.

Paul O’Brien — Director

Paul O’Brien has a total of 21 years’ experience in the mining business, including more than seven years in gold equity research covering developing companies, senior producers and precious metals forecasting, during which time he was ranked in the top five of Wall Street Journal’s “Best on the Street Analyst Survey” for North American mining analysts two years in a row.

In addition, O’Brien has 12 years’ experience in corporate advisory and investment banking primarily focused on the mining industry where he gained global mining capital markets experience in Canada and Australia as a member of bank-owned capital markets groups. He received his B.Comm from McMaster University and is a CFA Charterholder.

*Disclaimer: The profile provides information which was sourced and approved by Mammoth Resources in order to help investors learn more about the company. Mammoth Resources is a client of the Investing News Network (INN). The company’s campaign fees pay for INN to create and update this profile page, to which links are placed on and channel newsletters.

The company description, investment highlights and catalysts were sourced by INN and approved by the company. INN does not guarantee the accuracy or thoroughness of the information contained on this page.

INN does not provide investment advice and the information on profile should not be considered a recommendation to buy or sell any security.

INN does not endorse or recommend the business, products, services or securities of any company profiled.

Readers should conduct their own research for all information publicly available concerning the company.