Torex Gold’s Ambitious Goals for Media LunaBy Paloma Duran | Thu, 04/07/2022 - 07:18
Torex Gold announced that with its board of director’s approval of the Media Luna’s (ML) development, the company has entered a new stage in its operational capabilities. Additionally, the company announced that through further exploration, it could create a multi-decade mining operation.
In a press release, Torex announced the approval for Media Luna, which is expected to have a life of 12 years starting in April 1, 2022. Torex explained that although it is a challenging project due to the distance from the company's current structure and a metallurgy complex, it was approved because of its high potential and feasibility.
“Today we achieve a mission-critical milestone in our growth journey with the release of the updated Technical Report for our Morelos Complex and approval from our Board of Directors to proceed with the development of the ML Project. With tremendous future exploration potential, advancing this project is fundamental to setting up our wholly owned flagship Morelos Complex for safe and reliable production, strong free cash flow past the construction period and lasting economic prosperity for all of those who share stakes in Torex. With this investment, the foundation for the future growth plans of Torex will be firmly laid,” said Jody Kuzenko, President and CEO, Torex.
The company stated that it sees an opportunity to improve the overall performance of the Media Luna project by filling the mill after 2027 and extending the mine’s life. In addition, Torex announced that its exploration plan will focus on unlocking the property's resource potential to create a multi-decade operation.
In addition, Torex announced that thanks to the Media Luna project, it will diversify its metal production towards copper, a great opportunity considering the current market environment for this resource. The company expects 20 percent of the Morelos Complex's total revenue to come from copper, a figure that could grow over time. The company told MBN that it is beneficial to move slightly outside of the gold market, where companies are somewhat forced to be price-takers.
Kuzenko told MBN that another goal Torex has for 2022 is to become a million ounce-plus producer on an aggressive schedule. Consequently, the company is evaluating mergers and acquisitions to find great opportunities.