SDA Processing Plant, Nayarit, Mexico
The SDA Processing Plant is a permitted, fully operational flotation mill with gold-silver leach circuit located in Nayarit State, Mexico
- The SDA Processing Plant (“SDA Mill”) is located 150 kilometers southeast of the city of Mazatlan near the town of Acaponeta, Nayarit. From Mazatlan, the plant is a 1.5 hour’s drive via a major paved highway. Ore transport, operating supplies and concentrate shipments are by truck. The plant is situated adjacent to the community of San Dieguito de Arriba where the majority of employees reside. Magellan purchased the SDA Mill and associated assets, licenses and agreements in November 2017 for a price of $1.5 million.
- The SDA Mill is a fully operational flotation plant that also includes an agitated leach system and Merrill-Crowe precious metals recovery circuit. The mill has the capacity to process ore at a rate of up to 200 tons per day. The main sections of the SDA process plant include:
- Crushing – two stage crushing in closed circuit – capacity 25 metric tons per hour
- Grinding – ball mill in closed circuit with cyclone classifier – capacity 150 metric tons per day
- Flotation – including conditioner tank, roughers and cleaners – capacity + 150 metric tons per day
- Concentrate vats, drying and load out area
- Tailings facility – contains 250,000 metric tons – additional capacity 150,000 metric tons
- Analytical laboratory
- Office, warehouse and small maintenance shop
- Leaching – Merrill Crowe installation – capacity 300 metric tons per day concentrate leaching
- The SDA Mill has a ten-year operating history. Historically, its operation has been based on sales of flotation concentrates to smelters, and payment for precious metals content. It has operated generally at the rate of 100 metric tons per day but has the capacity to operate up to 150-200 metric tons per day without additional capital expenditure.
- Magellan’s strategy is to acquire new sources of ore, to resume mining and processing operations, and to build production and increase cash flow. A key objective will be to secure high-grade feed sources. The mill lies within the rich Sierra Madre Occidental mineralized belt, which historically has yielded millions of ounces of precious metals and offers multiple high-grade gold and silver epithermal vein opportunities.