TORONTO, Nov. 29, 2019 /CNW/ - (November 29, 2019) Argonaut Gold Inc. (TSX:
AR) (the "Company", "Argonaut Gold" or "Argonaut") announces
that the Mexican Environmental Authority ("SEMARNAT") issued a
ruling to not approve the updated Environmental Impact Assessment
(Manifiesto de Impacto Ambiental or "MIA") for the San Antonio project in Baja California Sur, Mexico. The primary
reason SEMARNAT cites for not approving the MIA is non-compatible
zoning based on a revised, 2018 zoning plan filed by the
municipality of La Paz. It is the Company's view that the
zoning was resolved through the favourable July 2016 supreme court ruling (see press release
dated July 28, 2016).
The Company is reviewing all of its options from seeking an
amendment to the La Paz 2018
zoning plan based upon the July 2016
supreme court ruling, submitting a revised MIA and legal
options.
Pete Dougherty, President and CEO
stated: "We are disappointed with SEMARNAT's decision to not
approve the MIA for the San
Antonio project. We have worked hard with the local
community and have had positive feedback. We have tremendous
support for the project from the local community of San Antonio and the surrounding areas, where
members of the local population marched in support of the project
and voiced unwavering support at the public information meeting
during the MIA process. We continue to believe that
San Antonio provides an
opportunity for a model mine with the use of clean technologies
that also provides near and long-term benefits to the region."
The Company cautions that there is no assurance that permits
will be issued and that permitting continues to be subject to
regulatory processes of uncertain duration.
About Argonaut Gold
Argonaut Gold is a Canadian gold company engaged in exploration,
mine development and production. Its primary assets are the
El Castillo mine and San Agustin mine, which together form the El
Castillo Complex in Durango,
Mexico and the La Colorada
mine in Sonora, Mexico.
Advanced exploration projects include the San Antonio project in Baja California Sur, Mexico, the Cerro del
Gallo project in Guanajuato,
Mexico and the Magino project in Ontario, Canada. The Company also has
several exploration stage projects, all of which are located in
North America.
Cautionary Note Regarding Forward-looking
Statements
This press release contains certain
"forward-looking statements" and "forward-looking information"
under applicable Canadian securities laws concerning the business,
operations and financial performance and condition of Argonaut Gold
Inc. ("Argonaut" or "Argonaut Gold"). Forward-looking statements
and forward-looking information include, but are not limited to,
statements with respect to estimation of mineral resources at
mineral projects of Argonaut; the realization of mineral reserve
and resource estimates; the receipt of necessary permits; the
timing and amount of estimated future production; economics of
production; estimated production and mine life of the various
mineral projects of Argonaut; the future price of gold and silver;
synergies and financial impact of completed acquisitions; the
benefits of the development potential of the properties of
Argonaut; success of exploration activities and currency exchange
rate fluctuations. Except for statements of historical fact
relating to Argonaut, certain information contained herein
constitutes forward-looking statements. Forward-looking statements
are frequently characterized by words such as "plan," "expect,"
"project," "intend," "believe," "anticipate", "estimate" and other
similar words, or statements that certain events or conditions
"may" or "will" occur. Forward-looking statements are based on the
opinions and estimates of management at the date the statements are
made, and are based on a number of assumptions and subject to a
variety of risks and uncertainties and other factors that could
cause actual events or results to differ materially from those
projected in the forward-looking statements. Many of these
assumptions are based on factors and events that are not within the
control of Argonaut and there is no assurance they will prove to be
correct.
Factors that could cause actual results to vary materially from
results anticipated by such forward-looking statements include
variations in metal grades, permitting delays, changes in market
conditions, variations in recovery rates, risks relating to
international operations, fluctuating metal prices and currency
exchange rates, changes in project parameters, the possibility of
project cost overruns or unanticipated costs and expenses, labour
disputes and other risks of the mining industry, failure of plant,
equipment or processes to operate as anticipated.
These factors are discussed in greater detail in Argonaut's most
recent Annual Information Form and in the most recent Management
Discussion and Analysis filed on SEDAR, which also provide
additional general assumptions in connection with these statements.
Argonaut cautions that the foregoing list of important factors is
not exhaustive. Investors and others who base themselves on
forward-looking statements should carefully consider the above
factors as well as the uncertainties they represent and the risk
they entail. Argonaut believes that the expectations reflected in
those forward-looking statements are reasonable, but no assurance
can be given that these expectations will prove to be correct and
such forward-looking statements included in this press release
should not be unduly relied upon. These statements speak only as of
the date of this press release. Argonaut undertakes no obligation
to update forward-looking statements if circumstances or
management's estimates or opinions should change except as required
by applicable securities laws.
Although Argonaut has attempted to identify important factors
that could cause actual actions, events or results to differ
materially from those described in forward-looking statements,
there may be other factors that cause actions, events or results
not to be anticipated, estimated or intended. Statements concerning
mineral reserve and resource estimates may also be deemed to
constitute forward-looking statements to the extent they involve
estimates of the mineralization that will be encountered if the
property is developed.
SOURCE Argonaut Gold Inc.