By 2017, Mexico's gold output is expected to top 100 t/y on account of a few explorers' major new discoveries.
Thomson Reuters GFMS mining analyst Matthew Piggot recently told Mining Weekly Online the next five years would be full of new projects “ramping up to full production” in what will surely be a few of the biggest years yet for the gold market...
Mexico is so attractive to gold miners because it is one of the lowest-cost mining jurisdictions in the world: to extract one ounce of gold (on average) in Mexico costs approximately $325 per ounce compared to the international average of a hefty $649/ounce.
Low labor costs combined with an array of skilled workers eager to stay on the job help keep production costs so low.
Newstrike CEO Richard Whittal has also publicly announced his optimism in regard to Mexico's golden future, saying the Ana Paula project Newstrike bought from Goldcorp two years ago (in the Guerrero gold belt) is set to yield more than three million ounces of the yellow metal.
The Guerrero gold belt is a relatively new gold district gaining attention from gold companies.
The district houses Goldcorp's Low Filos complex, the largest gold mine in Mexico to date, as well as Torex Gold Resources' Morelos project.
Los Filos alone has been proven to hold 7.7 million ounces of precious metal resources.
Whittal said the resource comprises quite an “unusual” discovery for Mexico, due to the high-grade core boring deep into the earth, covered by a large lower-grade orebody.
Grades in the orebody core have already proven to be significant and the lower grade on the outer level “held significant tonnage.”
The Ana Paula project, funded by Newstrike, intends to spend at least $15 million on related exploration endeavors in the area after investing $10 million last year.
Yamana Gold also began production at its Mercedes mine in Mexico in 2011...
As of February 1, 2012, the Mercedes mine in Sonora, Mexico, is Yamana's newest center of commercial production.
Amidst economic depression in the United States, Mexico is booming — bursting at the seams with enough gold to secure a place on the world's top ten list of the most producing gold countries.
It's no wonder Mexicans are remaining in their home country instead of fleeing to the States in search of better opportunity...
Earlier this week, we told Wealth Daily readers:
On Monday, the Mexican Chamber of Mining said the country hit a new record in gold production in 2011, reaching 88.6 tons of the precious metal — nearly 22% more than 2010.
This means Mexico has the highest growth rate in the world in terms of bullion production.
Mexico's gold-growth story has great potential for gold bulls looking for new ways to invest.
With discoveries like this pumping millions — possibly trillions — of dollars into the global economy, you'll want to be in the right companies before production really takes off...
Our very own metals expert Greg McCoach has been following these developments with a keen eye. He's recently found a promising precious metals investing opportunity in South America.
More profit ideas for precious metals and other commodities below...
Farewell for now,
Brittany Stepniak is the Project Manager and Editor for the Outsider Club. Her “big picture” insights have helped guide thousands of investors towards achieving and maintaining personal and financial liberties while pursuing their individual dreams in lieu of all the modern-day chaos. For more on Brittany, take a look at her editor's page.
The System Is Rigged by Politicians and Bankers: Time to Wake Up
More and more layers continue to be peeled back, exposing central planning and banking for what it is: an internationally rigged game with only the little guy as loser.
Global Nuclear Investment Opportunities: The Government Just Killed America's Nuclear Industry
How to invest from the meteoric rise of the global nuclear market.
Wal-Mart's Bank Account Pays You 5.7%: Why One of My Favorite Investments Is STILL REITs
Find out why REITs have been some of the best performing investments over the last five years...
12 Shocking Stocks Making New Highs: The Recession Has Been Very Good to These Investors
When it comes to stock market and economic analysis and predictions, it's been a perennial broken record of fear and loathing for the last five years...
Mexican Gold Rush: Boom Times Down South, Plus Top Ten Gold Producers
Mexico is the fastest growing gold producer. It's boom time down south. Plus, the top ten gold-producing countries.
Canada's Black Gold Rush: Meet the Canol Shale Formation
Editor Keith Kohl takes a closer look at Canada's newest shale play: the Canol Shale Formation.
3D Printing Stocks: The Next Industrial Revolution
Why manufacture something in China, pay workers, and then ship it around the world... when you could just 3D print the object next to its end market?
Energy Security Opportunities: OPEC is Finished, Kaput!
OPEC's about to lose its most loyal customer.
Diamond Glenn, Badass Texas Wildcatter: The Next American Revolution
What you can learn from Diamond Glenn McCarthy, the badass oil wildcatter of Texas yore.