Torex Gold Resources Inc reports that negotiations between community leaders have resulted in an end to the illegal blockades of the company’s ELG Mine Complex, supporting infrastructure, and the Media Luna Project, all of which are in southwest Mexico. Processing operations have continued uninterrupted since the restart in mid January. Mining in the El Limon Pit is expected to resume today.
Fred Stanford, President & CEO of Torex stated: “We are more than pleased that we can now get back to unimpeded operations and value creation for the company’s shareholders and all stakeholders. During the first quarter, the quality of the team, and the asset, were clearly evident as they pulled together under very challenging operating conditions and produced 67,000 oz of gold in dore.They also shipped 8,000 gold ounces in carbon fines. Looking forward, the operations are well positioned to complete the ramp-up in 2018 and to move forward with optimisation and development initiatives.”He added; “A special thanks goes out to the employees, community members, community leaders, and so many others who have provided the support that was necessary to facilitate production during this difficult period, and to peacefully resolve this dispute over union representation.”
The official government-regulated process for selecting between the two competing unions, continues. Since mid-March, there have been two public hearings at the Federal Labour Board, regarding the timing of a union selection vote. “It is Torex’s understanding that the public hearing stage of the process is now complete, and that the next stage is a decision as to when and where the vote will occur. As Torex has said since the beginning, the Company will work with whichever union the workers democratically select.”
The processing plant has operated continuously since it restarted on January 16th except for planned maintenance activities. In the first quarter, 67,000 oz of gold were produced in dore, and an additional 8,000 oz of gold were shipped in carbon fines. The Sub-Sill was re-started one month ahead of schedule, with drifts and ramps advancing 179 m in March.The underground diamond drilling program also restarted ahead of schedule. Mining in the El Limon Sur Pit progressed on schedule, as did the Guajes East Pit, which is now effectively mined-out. The Guajes West Pit is in a waste stripping phase in 2018, which is the reason the operation will source most of its ore in 2018 from the El Limon Pit, with some contribution from the El Limon Sur Pit and the Sub-Sill. The SART plant construction is substantially complete and commissioning is ongoing. The placement of filtered tailings has been well managed in preparation for the rainy season. Water containment ponds are being drawn down in preparation for the rainy season.