Mining Companies Resume Activities After BlackoutsBy Paloma Duran | Thu, 02/25/2021 - 14:54
Mining activities in Mexico have been resumed after power outages caused by winter storms affecting Mexico’s northern region and Texas prevented the import of US natural gas, leaving mining companies without power for days. Read this and more in your weekly mining roundup!
Mexico’s mining companies have resumed full production, after having been affected by electricity shortages caused by a cold wave in Texas that froze gas pipelines and infrastructure. Several mining operations in northern states suspended or limited their activities, after the US halted natural gas exports. Mexico is highly dependent on US natural gas to produce electricity. As a result, the country suffered several power outages and an increase in the price of natural gas. Electricity restrictions were lifted on Feb. 19, after the government and CFE guaranteed natural gas through liquefied natural gas shipments and US supplies.
Minister of Finance in Zacatecas, Jorge Miranda Castro, announced that Newmont-Peñasquito will pay MX$600 million (US$29.39 million) in environmental taxes, from which MX$50 million (US$2.45 million) will be used to purchase COVID-19 vaccines for the state. "I want to celebrate Newmont's great attitude in favor of Zacatecas families and invite other companies to follow this attitude of equality," Miranda said. Zacatecas Governor Alejandro Tello explained that mining companies can buy vaccines and accelerate the immunization process of the state. “If all the mining companies that operate in Zacatecas would pay the environmental tax that has been set since 2017, the entity could receive at least MX$1 billion (US$48.97 million),” Tello said.
On Mar. 8, the forum "Las Mineras: MegaMujeres de la Megarregión," organized by the Sonora Mining Cluster, WorldWise Coaching LLC and the US Consulate in Nogales, will promote the Arizona-Sonora mega region and the economic empowerment and leadership of women around the world. Female leaders will provide participants with essential information on skills needed to be successful in mining.
Colibri Resource announced that it has signed an agreement with Bimsa Minera, a private mineral exploration company in Mexico, to acquire 100 percent of the Diamante Gold Project in Sonora. The company explained that the project has not been fully explored and there is historical evidence of surface and underground mining, which indicates a favorable environment for finding potential deposits. Colibri Resource announced it will begin exploration activities in March, which will include verification of historical sampling, geological mapping and additional sampling to identify Phase 1 drilling targets.
Telson Mining announced it has signed a letter of intent with Accendo Banco for US$25 million in financing to complete the construction of its Tahuehueto gold mine in Durango. The company requires an investment of US$15.4 million to complete construction and commissioning of the mine, from which US$12.6 million are for equipment and construction and US$2.8 million to support operations until the mine has cash flow. “This funding package allows Telson to immediately reinitiate construction at the Tahuehueto mine site, after which we expect to rapidly advance construction targeting to begin pre-production within 10 to 12 months and full-scale production 12 to 14 months after getting the funds,” said Telson CEO, Ralph Shearing, in a press release.
Six mega mining projects have begun development in Mexico, aiming to reactivate the mining sector which had a 50 percent investment decrease in 2020 due to the global COVID-19 pandemic. The projects are located in Guerrero, Chihuahua, Durango, Zacatecas and Sonora and will focus on gold, copper, silver, zinc and lithium exploration. The companies leading these projects are Fresnillo, Torex Gold, Chesapeake Gold, Southern Copper and Bancora Lithium, reported La Jornada.