A rise in fuel prices and other supplies are increasing miners' operating costs, which are expected to continue to rise next year. Lithium is not the country’s new oil, as the mineral does not produce energy and its potential has yet to be confirmed, according to experts. In addition, a third of the energy used in the mining sector is renewable, reports CAMIMEX’s latest data.
Ready for more? Here’s the Week in Mining!
Five of the main mining producers in Mexico have reported a 4 to 7 percent increase in their spending, as fuel prices and other inputs have risen exponentially in recent months. According to them, all these variables are expected to continue increasing throughout 2022. The companies announced that while they cannot control global trading conditions, steps are being taken to limit their impact.
It is a mistake to say that lithium is the country's new oil, since Mexico does not have large confirmed lithium reserves and the mineral does not produce energy. Furthermore, the country’s potential regarding this resource is only average, said Armando Torres, President of the College of Engineers, Metallurgists and Geologists of Mines of Mexico (CIMMGM).
The Mexican Mining Chamber (CAMIMEX) estimates that about 34 percent of the energy consumed in the mining industry in Mexico comes from renewable sources. . The primary reason behind the high percentage of renewable energy is its lower cost, which makes it easier for companies to integrate them efficiently into their processes.
Americas Gold and Silver has provided an update on its Cosalá Operations, which recently resumed operations after a 19-month blockade. The project is expected to be in full production at 1,800t/d in December. Additionally, the company said that new areas of the project are expected to increase annual silver production to 2.5Moz.
Minera Alamos announced that it made an initial delivery of gold doré from its Santa project, which contained approximately 400oz of gold. The company said that if it continues to generate positive results, it will improve production and achieve consistent net cash generation at the operating level sooner than expected.