Timmins Gold extends San Francisco mine life in Mexico until 2023

23 August 2016 (Last Updated August 23rd, 2016 18:30)

Timmins Gold has extended the San Francisco gold mine life in Sonora State, Mexico, up to 2023 after completing a new Canadian National Instrument 43-101-compliant technical report.

Timmins Gold has extended the San Francisco gold mine life in Sonora State, Mexico, up to 2023 after completing a new Canadian National Instrument 43-101-compliant technical report. 

As per the report, the company’s gold production for this year at the mine is between 90,000oz and 100,000oz.

Gold production for next year is anticipated between 65,000oz and 70,000oz, with between 80,000oz and 85,000oz for 2018.

Timmins Gold president Arturo Bonillas said: “Over the course of the past year, we made significant reductions in costs and increased operating efficiencies, which contribute greatly to the estimated profitability of the new life of mine plan.

"The low capital requirements throughout the mine life result in very attractive all-in costs."

“Additionally, the low capital requirements throughout the mine life result in very attractive all-in costs." 

The new mine plan will incorporate more than two years of new exploration, infill and production drilling data.

Other developments at the mine will include reinterpretation of certain phases of the deposits, and mining and process engineering optimisations.

Timmins Gold interim CEO Mark Backens said: “Expected cash-flow from operations will comfortably fund the pre-construction work programme at Ana Paula while meaningfully contributing to the company’s treasury.

“Gold production at San Francisco should continue well through the expected start of production at Ana Paula. Further, the cash flow from operations will be an important source of funding for Ana Paula construction.”