Tag Archives: ELG

Torex breaking records and innovating underground mining space

It was quarter of milestones for Torex Gold Resources in the three months to the end of June, with a record production number from the company’s ELG complex, in Mexico, and more progress on the company’s innovative Muckahi underground mining system.

The June quarter saw gold production of 113,600 oz, around 12% higher than the previous quarterly production record set in the September quarter of 2018. This saw plant throughput averaging at 11,670 t/d, average underground ore production of 1,280 t/d, average open-pit ore production of 18,600 t/d and an open-pit strip ratio of 6.8:1.

With the quarterly production result, the company reiterates full-year sales guidance of 430,000 oz (+/- 7%), which is weighted towards the second half of 2019.

Fred Stanford, President and CEO of Torex, said: “Q2 was a notable quarter from a number of perspectives. Record total ounce production has been highlighted already. The 1 Moz was also surpassed in the quarter.

“The mining team produced at record levels, both in ore mined in the open pits and underground. Throughout the quarter the processing team made progress in reducing reagent consumption and, late in the quarter, they made improvements in throughput rates per hour.

“Overall, quarterly throughput was hampered by unrelated unplanned downtime in late June. The team has work to do to increase the predictive and preventative aspects of maintenance.”

The Muckahi team also had an excellent quarter, according to Stanford.

“They demonstrated the effectiveness of the drilling system (Jumbo) on the level and have now turned their attention to demonstrating that the system is effective on a -30 degree down ramp,” he said.

“In five rounds, they have completed the transition from a level tunnel to a -30 degree down ramp. In July, they will push forward with the down ramp and initiate the testing of the slusher-based muck removal system. Interesting times!”

The Muckahi concept is an alternative to established underground mining processes that, Torex says, can create a more continuous mining process able to accelerate return on investment.

Learn more about the concept and technology by clicking here.

Torex makes Muckahi plans for newly declared gold reserve

Torex Gold Resources has announced a maiden underground reserve for the El Limón Deep zone (ELD) at its El Limón Guajes mining complex (ELG), in southwest Mexico, and revealed plans to mine it with its newest innovation, the Muckahi system.

The probable mineral reserve at ELD contains 86,000 oz of gold in 487,000 t of material at an average grade of 5.5 g/t Au (cutoff grade of 3.7 g/t). This is a subset of an indicated mineral resource at ELD that contains 141,000 oz in 797,000 t at an average grade of 5.52 g/t Au (cutoff grade of 2.5 g/t).

The mineral resource at ELD is the downdip extension of mineralisation in the El Limón open pit, some 400 m north-northwest of the Sub-Sill deposit (already being mined) and is open in three directions.

Fred Stanford, President and CEO of Torex, said, while small in comparison to the open-pit mineral reserves, the ELD provides a “nice sweetener to the open-pit production”.

He added: “It is also indicative of the potential to add further underground mineral resources. With ELD open in three directions, the Sub-Sill underground deposit still open at depth, and the potential for down dip extensions of Guajes, we are upbeat about the potential to further expand underground reserves and resources through multiple sources.”

ELD will be accessed through the existing underground development and will use the existing site infrastructure, according to Torex. This infrastructure includes, but is not limited to, electrical facilities, maintenance facilities, main ventilation exhaust fans and the backfill plant. Depending on material availability and geotechnical requirements, all mining areas at the ELD will be backfilled with either cemented aggregate fill or uncemented rockfill.

While the mineral reserves for the ELD deposit have been estimated using conventional mining techniques and costs, the intention is to mine the deposit with the Muckahi mining system, Stanford said.

“If as expected, the costs associated with Muckahi mining are lower than conventional mining costs, we may be able to lower the cut-off grade and increase the size of the mineral reserve.”

Excavation of the 30° down ramp to access the lower parts of the ELD deposit is underway, with four rounds taken, according to Stanford. “In the upper portions of the deposit, the excavations are nearly completed for the initial long hole stopes that will be mined utilising the production aspects of the Muckahi system.”

Stanford also provided an update on the Muckahi system, which is currently undergoing trials at ELG. The first tunnelling blast of the field trials was taken on March 26 and the round was successfully drilled from the monorail mounted Muckahi jumbo drill. The second piece of equipment, the Muckahi service platform, was at the Mexican border as of April 3 and was expected to be in service this by the end of June.

The goal of the trial is to demonstrate Muckahi’s capabilities over the full development cycle for tunnelling, including on a minus 30° gradient, and to demonstrate the capability of the system to lower costs in long hole open stope mining.

Stanford said on June 20: “To date the Muckahi system has performed as expected, we are all eager to progress through the next stages of the testing program and, if proven, then move forward with the strategic options it has the potential to unlock.”

The Muckahi concept is an alternative to established underground mining processes that, Torex says, can create a more continuous mining process able to accelerate return on investment.

Learn more about the concept and technology by clicking here.

First Muckahi mining system on site in Mexico, Torex Gold says

At the same time as reporting record gold production for 2018, Torex Gold has provided an update on its innovative in-development Muckahi underground mining system.

The company recovered from a blockade at its ELG mine, in Mexico, which affected operations earlier in the year, to produce 353,947 oz of gold in 2018, with 96,316 oz of that coming in the December quarter. Torex guided for production of 430,000 oz in 2019.

In tandem with these results, the company’s President and CEO, Fred Stanford, talked up the company’s Muckahi concept, an alternative to established underground mining processes that, Torex says, can create a more continuous mining process able to accelerate return on investment.

Stanford, who is credited as the originator of the technology, said in the company’s 2018 financial report: “If proven successful in 2019, the Muckahi technology will reduce the costs of future underground mining on the Morelos property (which includes the ELG and Media Luna assets) and will provide us with a competitive advantage when bidding on potential acquisitions and pursuing other options for commercial deployment.”

He said the testing programme for the Muckahi technology was expected to be completed in 2019, with the first of four Muckahi machines on site in Mexico. “We anticipate breaking rock with it in the next couple of months,” he said, adding that as the other machines arrive, the company would incorporate them into the test programme.

The planned use of the Muckahi system, which is also being developed with help from MEDATECH, in the most recent preliminary economic assessment for the Media Luna project saw the after-tax internal rate of return jump from 27% to 46%.

For 2019, Torex’s Muckahi plans include:
• Development on the level;
• Development on a 30° down-ramp;
• Long-hole open stope fragmentation to 95% passing 400 mm, and;
• Mucking a long hole open stope with a slusher.

Torex Gold’s Muckahi Mining System starting to take shape

Torex Gold has provided an update on its innovative underground Muckahi mining concept, saying the first piece of equipment is due to be shipped to its ELG operating mine in Mexico before the end of the year.

Significant testing of the system, which was factored into the recent preliminary economic assessment on the Media Luna project, was expected to be completed by the end of 2019, the company said.

The Muckahi Mining System is an alternative to established underground mining processes and requires the use of a one-boom jumbo, service platform, mucking machine and tramming conveyor to create a more continuous mining process that can accelerate return on investment, according to Torex. It also significantly reduces the ventilation needs in underground mines by using conveyors as the main transport solution, playing into the mine electrification theme that is gaining traction.

Use of the MMS in the most recent PEA for Media Luna saw the after-tax IRR jump from 27% to 46%.

The key expected benefits of using the MMS over conventional means are:

  • Continuous muck handling system and the elimination of re-handle and storage;
  • All-electric operation and significant reduction in ventilation requirements;
  • Ability to travel on ±30° (58%) slope and major reduction in both permanent and operating development;
  • Ability for bi-direction travel in 4m x 4m tunnel.