From Yahoo Finance: 2025-05-02 10:11:00

Canadian intermediate gold producer Torex Gold Resources has officially started commercial production at the Media Luna mine in Mexico, marking a significant milestone after completing the project’s development phase.

Investing $55.5m in the Media Luna project during Q1 2025, Torex Gold made substantial progress with construction, reaching 98% completion by the quarter’s end compared to 94% at the start.

Key elements like the paste plant commissioning and upgraded power infrastructure integration with the national grid are crucial steps yet to be finalized for supporting increased mining rates at the processing plant.

The completion of the paste plant and distribution system, expected later this quarter, will enhance mining efficiency, aligning with the final checks by the national energy regulator for integrating the transmission line into the grid.

Torex Gold’s president, Jody Kuzenko, emphasized the successful delivery of the Media Luna project, showcasing the company’s capability as an efficient and reliable operator that can achieve excellence in executing major and complex projects.

With operational performance during the build period and support from record gold prices, Torex managed to fund the project primarily through cash generated from existing operations, minimizing net debt accumulation and aiming for positive cash flow generation in mid-2025.

The project team is focused on integrating flotation circuits into the processing plant to ramp up underground mine production to the targeted throughput of 7,500 tpd by mid-2026, while surface and underground operations approach completion.

Surface and underground operational readiness activities, including employee recruitment and training, are in their final stages to ensure smooth transition and efficient operations at the Media Luna mine and modified process plant.

Over 200 employees were transferred or recruited, with an emphasis on local hiring, to support operational needs, as Torex Gold achieved a significant milestone in March 2025 by completing a four-week tie-in period for the Media Luna project and producing metal-rich copper concentrate.

Read more: Torex Gold begins commercial production at Media Luna mine in Mexico