Sonoro has an option to acquire 100% of the project, about 45 km from the town of Magdalena de Kino.

The company will acquire assets from Ubica Gold, gaining 77 claims at Tuscarora.

Expectations that inflation-adjusted yields on US bonds will rise means the metal will no longer function as a hedge against equity markets, Russ Koesterich said.

Gold shed as much as 3% as an unexpected increase in US retail sales pushed up the dollar.

Lawmakers are investigating the alleged loss of $9 billion a year to illegal mining of the precious metal.

An investigation to determine the cause of the accident will be conducted.

The three deposits included in the FS have a combined measured and indicated resource of 22.9 million tonnes grading 1.5% copper and 2.2% zinc.