Magdalena Borate

The Magdalena Borates Project, which is owned 100% by Bacanora and covers 7,870 Ha in Sonora State in northern Mexico, represents an excellent opportunity to develop boric acid production to be sold in the domestic Mexican market.

Previous studies have estimated that a low CAPEX cost project could enable the Company to commence production relatively quickly. The project is subject to a 3% royalty to a Rio Tinto subsidiary and a 3% royalty to Colin Orr-Ewing.

The project consists of twelve concessions, and to date, three main borate zones have been located on the Magdalena project area: Cajon; Bellota and Pozo Nuevo. El Cajon is the most advanced project with a NI 43-101 indicated resource of 11.06m tonnes at 10.6% grade for 1,170,000 tonnes of boron trioxide (B2O3).