Canadian intermediate gold producer Torex Gold Resources has completed the four-week tie-in period for the Media Luna project in Mexico, marking the first production of metal-rich copper concentrate.
Media Luna is an underground deposit rich in gold, copper and silver mineralisation. It is located 7km from the El Limón Guajes Mine Complex on the south side of the Balsas River.
In March 2022, the board of directors gave the green light to the Media Luna project, which is set to extend the life of the mine through at least 2033.
The tie-in process was a complex operation involving 83 tie-ins and the commissioning of 136 separate systems.
Trucking of the copper concentrate will begin shortly, with contracts already in place to manage sales and logistics.
Commercial production at the project is expected to commence in the coming weeks.
Torex president and CEO Jody Kuzenko said: “Following almost three years to the day of the release of our feasibility study for the Media Luna project, we have completed the tie-in period at our processing plant and achieved first production of copper concentrate.
“This milestone represents substantial completion of the project and the beginning of the next chapter in the evolution and growth of Torex as we become a gold and copper producer.”
Mining at Media Luna has continued uninterrupted during the period, with production rates increasing.
Ore is now being transported through the Guajes Tunnel conveyor, with monthly development rates exceeding the budgeted 1,200m.
The company has completed drilling on 88 stopes, including 46 of the 60 planned for mining in 2025, 35 for 2026 and seven for 2027.
With the paste plant scheduled for commissioning in the second quarter, throughput levels are expected to increase further.
The company aims to achieve steady-state mining rates of 7,500 tonnes per day by mid-2026, which is six months ahead of the schedule outlined in the feasibility study.
Kuzenko added: “As we pivot to strong free cash flow generation mid-year, we are confident that we will significantly enhance shareholder value by reinvesting in drilling to further grow reserves and resources, developing our next mine at EPO, returning capital through dividends and share buybacks, and strengthening the balance sheet to support accretive growth opportunities.”
In November 2024, the Mexican Government announced plans to increase mining royalties, a move that could hinder more than $6.9bn (138.05bn pesos) in investments over the next two years.
