Mining in Mexico Follow the Money Report¶

Opportunities for Change¶

Based on a synthesis of M&A movements, investment and VC trends, and the landscape of new entrants and disruptors in the Mexican mining sector for 2024-2025, several key opportunities for change are currently receiving investment. These opportunities are primarily driven by established players seeking to expand production, enhance resource discovery, and optimize operations.

1. Expansion of Existing Production Capacity through Strategic Acquisitions: - Investment is flowing into acquiring producing assets to immediately boost output and market share. The acquisition of the Cerro Los Gatos mine by First Majestic Silver Corp. in 2024 exemplifies this. This strategy allows companies to bypass the lengthy and often uncertain process of developing new mines from scratch. - Value Chain Impact: Primarily affects Mining (Extraction) and Processing & Refining by consolidating existing operations and increasing the acquirer's production volumes. It also impacts Marketing & Sales by providing larger quantities of metals for the market.

2. Development of New Mining Projects by Established Companies: - Significant capital is being invested in bringing new mines into production. Examples include Torex Gold Resources' Media Luna project (US$874.5 million investment), Endeavour Silver Corp.'s Terronera project, and Grupo México's Buenavista Zinc project (which commenced operations in 2024). - Value Chain Impact: This investment directly fuels the Development stage (engineering, construction, infrastructure). Upon completion, it significantly boosts the Mining (Extraction) and Processing & Refining stages by adding new capacity and subsequently increases volumes in Marketing & Sales.

3. Intensified Exploration for Resource Renewal and Growth: - Mining companies are allocating substantial budgets to exploration activities to discover new deposits and extend the life of existing mines. Alamos Gold Inc. increased its 2024 exploration budget significantly (US$19 million for Mulatos District), and Agnico Eagle Mines Limited is actively advancing exploration, reporting increased mineral reserves for 2025. Minera Frisco also remains active in exploration. - Value Chain Impact: This directly impacts the Exploration stage. Successful exploration feeds into future Development and subsequent production stages, ensuring a long-term pipeline for the industry.

4. Technology Adoption for Efficiency and Sustainability (Potential/Emerging Opportunity): - While specific investments in disruptive technology startups are not detailed in the provided reports, the broader trend indicates an opportunity for change through the adoption of technologies like AI, automation, data analytics, and advanced water management. These are seen as crucial for enhancing efficiency, safety, and environmental performance. The "New Entrants and Disruptors Analysis" highlights that technology providers could be key enablers of change. - Value Chain Impact: - Exploration: AI and data analytics for better targeting and modeling. - Development: Advanced software for project planning and risk management. - Mining (Extraction): Automation and robotics for efficiency and safety. - Processing & Refining: Technologies for better recovery, reduced energy/water use. - Marketing & Sales: Data analytics for supply chain optimization and price forecasting. - Investment in this area, though not explicitly detailed as VC funding into new entrants, is implicitly occurring as established companies adopt these technologies to improve their existing operations. The opportunity lies in the potential for specialized technology firms to enter or expand their presence, driving further innovation.

Summary of Opportunities Receiving Investment:

The primary focus of current investment is on tangible asset development and expansion by existing major and mid-tier players. This includes: * Brownfield and Greenfield Project Development: Bringing new mines and processing facilities online (e.g., Media Luna, Terronera, Buenavista Zinc). * Asset Acquisition: Purchasing existing mines to quickly scale production (e.g., First Majestic's acquisition of Cerro Los Gatos). * Exploration Programs: Funding activities to discover new mineral resources and extend mine lives (e.g., Alamos Gold, Agnico Eagle).

While direct CVC investment into external disruptive startups is not prominent in the provided data, established companies are investing in their own growth through these more traditional avenues, which inherently involve adopting new technologies and operational improvements. The "change" being invested in is largely centered on increasing production scale, securing future resources, and enhancing the efficiency of existing operational paradigms within the value chain.

Key Findings¶

The following table summarizes the key opportunities for change in the Mexican mining value chain that are receiving investment, based on the M&A, Investment & VC, and New Entrants analyses.

Opportunity for Change	Key Investing Actors (Examples)	Primary Value Chain Stages Impacted	Nature of Investment
Expansion of Existing Production via M&A	First Majestic Silver Corp.	Mining (Extraction), Processing & Refining, Marketing & Sales	Strategic acquisition of producing assets.
Development of New Mining Projects	Torex Gold Resources, Endeavour Silver Corp., Grupo México	Development, Mining (Extraction), Processing & Refining, Marketing & Sales	Capital expenditure for mine construction and infrastructure.
Intensified Exploration for Resource Growth	Alamos Gold Inc., Agnico Eagle Mines Limited, Minera Frisco	Exploration, Future Development	Increased exploration budgets, advanced exploration programs.
Technology Adoption & Modernization (Implicit)	Established mining companies (e.g., Grupo México, Peñoles, Fresnillo)	All stages (Exploration, Development, Mining, Processing, Marketing)	Internal investment in operational technologies (AI, automation, data analytics).

References¶

First Majestic Silver Delivers 20% Jump in Q4 Silver Output, Reports New High-Grade Discovery | AG Stock News. https://agoracom.com/lc/agoracom/newswire/FirstMajesticSilver/news/81673/first-majestic-silver-delivers-20-jump-in-q4-silver-output-reports-new-high-grade-discovery
First Majestic Silver producción récord primer trimestre 2025 | Rumbo Minero. https://www.rumbominero.com/mexico/noticias/mineria-mexico/first-majestic-silver-produccion-record-primer-trimestre-2025/
First Majestic Silver reporta una producción récord de plata de 3.7 millones de onzas. https://www.outletminero.org/first-majestic-silver-reporta-produccion-record/
There's no substitute for silver - Investors - First Majestic Silver Corp.. https://www.firstmajestic.com/investors/
Agnico Eagle aumenta reservas minerales y avanza en exploración para 2025. https://noticiasmineras.com/2025/02/19/agnico-eagle-aumenta-reservas-minerales-y-avanza-en-exploracion-para-2025/
Agnico Eagle Mines Limited presenta los resultados del cuarto trimestre finalizado el 31 de diciembre de 2024 - Marketscreener. https://www.marketscreener.com/quote/stock/AGNICO-EAGLE-MINES-LIMITED-1464884/news/Agnico-Eagle-Mines-Limited-reports-Fourth-Quarter-ended-December-31-2024-Results-48744336/
Alamos Gold eleva proyección del oro para 2024 gracias al notable desempeño de mina mexicana - BNamericas. https://www.bnamericas.com/es/noticias/alamos-gold-eleva-proyeccion-del-oro-para-2024-gracias-al-notable-desempeno-de-mina-mexicana
Alamos Gold reporta producción récord de oro en 2024 - Mining México. https://miningmexico.com/noticias/oro/8415003/Alamos-Gold-reporta-produccion-record-de-oro-en-2024
Endeavour Silver aprueba construcción de mina en el proyecto Terronera, en Jalisco. https://factoramexico.com/mining/endeavour-silver-aprueba-construccion-de-mina-en-el-proyecto-terronera-en-jalisco
Estado de resultados de Minera Frisco, S.A.B. de C.V. (MFRISCOA-1.MX) - Yahoo Finanzas. https://finance.yahoo.com/quote/MFRISCOA-1.MX/financials?annual=true
Fresnillo Plc reporta resultados del primer semestre del 2024 - Mundo Minero MX. https://mundominero.mx/noticias/fresnillo-plc-reporta-resultados-del-primer-semestre-del-2024/
Grupo México incrementa ingresos en el cuarto trimestre de 2024, impulsado por el zinc. https://mexicomineria.com.mx/2025/02/07/grupo-mexico-incrementa-ingresos-en-el-cuarto-trimestre-de-2024-impulsado-por-el-zinc/
Industrias Peñoles. de Resultados Año Completo 2024: BPA: 0,18 ... https://simplywall.st/stocks/mx/materials/bmv-penoles/industrias-penoles/news/industrias-peoles-sab-de-cvs-bmvpenoles-2024-earnings-a-dis
Iniciarán actividad cuatro minas de oro en el 2024 - El Economista. https://www.eleconomista.com.mx/empresas/Iniciaran-actividad-cuatro-minas-de-oro-en-el-2024--20240124-0160.html
Invertirá Alamos Gold presupuesto histórico en exploración; US$19 millones se quedarán en Sonora - Mundo Minero MX. https://mundominero.mx/noticias/alamos-gold-invertira-presupuesto-historico-en-exploracion-us19-millones-se-quedaran-en-sonora/
Mulatos y La Yaqui Grande impulsan producción récord de oro de Alamos Gold - Mining México. https://miningmexico.com/noticias/oro/8371482/Mulatos-y-La-Yaqui-Grande-impulsan-produccion-record-de-oro-de-Alamos-Gold
REPORTE DE RESULTADOS - Minera Frisco. http://www.minerafrisco.com.mx/es/informes/
RESULTADOS - Cuarto Trimestre 2024 - Informe del Director 4T05. https://s22.q4cdn.com/971555611/files/doc_financials/2024/q4/05/RESULTADOS-4T05-web.pdf
Ventas de zinc y cobre impulsan 12.8% ingresos de Grupo México - Mining México. https://miningmexico.com/noticias/cobre/8415153/Ventas-de-zinc-y-cobre-impulsan-12-8-ingresos-de-Grupo-Mexico
Ventas de zinc y cobre impulsan 12.8% ingresos de Grupo México durante el último trimestre de 2024 - El Financiero. https://www.elfinanciero.com.mx/empresas/2025/02/07/ventas-de-zinc-y-cobre-impulsan-128-ingresos-de-grupo-mexico-durante-el-ultimo-trimestre-de-2024/
First Majestic Silver reporta producción de 5.7 millones de onzas de plata - Clúster Minero de Zacatecas. https://www.clusterminero.mx/noticias/detalle/first-majestic-silver-reporta-produccion-de-5-7-millones-de-onzas-de-plata