Telson Mining Corp

Telson Mining Corporation is a Canadian-based junior resource company with two Mexican gold, silver and base metal mining projects.  Telson's Tahuehueto project located in Durango, Mexico is currently in pre-production at approximately 200 tonnes per day utilizing a toll mill for processing and has entered a construction phase with a timeline to be producing on site in its own mineral processing plant capable of milling at least 1,000 tpd in 2020. Telson's 100% owned Campo Morado mine located in Guerrero, Mexico was placed into care and maintenance in August 2019 due to a number of factors including the substantial decline in zinc prices which negatively affect the mine's profitability. With improving conditions Telson brought the mine out of care and maintenance and reinitiated mining and milling operations during January 2020.

Tahuehueto, Northwestern Durango State

Telson Mining Corporation controls 100% of the Tahuehueto Project through a 99%-owned subsidiary, and acquired the district-scale property for its potential to host multiple deposits and discoveries. The project lies within the Sierra Madre mineral belt, which hosts most of Mexico’s producing mines and active exploration and development projects, and has geological similarities to epithermal deposits being exploited in nearby mining districts. In addition to vast geological potential, Mexico offers the advantages of social and political stability and a favorable investment climate. Pre-production commenced at Tahuehueto in August 2017 and is currently mining at a rate averaging 200 tonnes per day, shipping ore to a third-party toll mill for processing. Management has a targeted timeline at Tahuehueto to be producing with its own on-site mineral processing plant, with a designed capacity of at least 1,000 tonnes per day in 2020.

This 7,492-hectare property covers at least 12 mineralized zones hosted within a structurally controlled epithermal system that has been traced for more than 6 km. Exploration programs have defined significant gold-silver and base metal reserves and resources along the explored structural zone. Mineralization of gold, silver, copper, lead, and zinc has been outlined within reserves and resources along the length of the explored structural zone which have allowed Telson to determine excellent economics of a potential mining operation at Tahuehueto.

Significant exploration upside potential exists both on the existing explored structures that contain current reserves and resources along strike and down dip of the known mineralization which is open in all directions as well as within numerous other mineralized but unexplored structures known to occur within the core 700 ha concession area. Further exploration potential exists outside of the core area where Telson controls an additional 6700 hectares of concessions. Telson’s concessions cover about 80% of the mineralized Tahuehueto District, and there is a significant amount of prospective ground within this government recognized geological Tahuehueto District.

Telson’s plan is to advance into production with the reserves outlined in the core 500 ha area, continue to expand the reserves on structures where there are defined reserves and resources, and start to look at our less explored structures within this core 500 ha area. A Greenfields type of exploration program will also be designed and implemented after production is achieved to explore the regional District potential within Telson’s concession area.