Torex Gold Resources provided details on its multi-year exploration strategy for the Morelos Property, designed to add mineral resources in the near term, generate at least one new discovery in the mid-term, and extend the mine life at Morelos well beyond 2033.
“Since 2021, our exploration strategy has been focused on shoring up the near-term production profile and identifying future sources of feed to fill the mill beyond 2027,” Jody Kuzenko, president & CEO of Torex, said. “With these two business priorities well advanced, our drilling and exploration programs over the coming years will be increasingly focused on demonstrating the multi-decade potential of Morelos by delineating new deposits within the Media Luna Cluster and making new discoveries across the broader property.
“As our understanding of the structures and systems that control mineralization at Morelos continues to evolve, we are now broadening the search to grow organically through the identification of several new and promising targets including Todos Santos, El Naranjo, and Atzcala,” she said. “To prioritize these targets to align within the company’s strategic priorities, our exploration team has developed a systematic approach for evaluation on both a geologic and economic basis, culminating in the development of a new multi-year exploration and drilling strategy.
Morelos is a 29,000-hectare land package that is situated within the heart of the Guerrero Gold Belt and includes the El Limón Guajes (ELG) complex, the Media Luna Project, a processing plant, related infrastructure, and several exploration targets. The company said its $31 million average annual investment in drilling and resource expansion since 2021 and $30 million budgeted for 2024 demonstrate its strategic priority for unlocking the full mineralized potential of Morelos. Given existing knowledge of the geology of the property and the fact that 75% of the land package remains unexplored, Morelos remains highly prospective with respect to the delineation of additional gold, copper, and silver mineralization beyond what has been identified to date.
Torex said it expects the new multi-year exploration strategy to enable it to deliver on its objective to maintain more than 450,000 gold equivalent ounces of production annually beyond 2027 and to make at least one new discovery at Morelos in the coming years. The exploration and drilling strategy will focus on three distinct areas:
* Extending the mine life of ELG Underground and Media Luna: Delineating higher-value ore to extend the life of mine plan at Morelos by defining upside at ELG Underground and Media Luna through infill and near-mine step-out drilling;
* Expanding resources within the Media Luna Cluster: Enhancing and extending the production profile by unlocking the full potential of the Media Luna Cluster, including zones currently identified as Media Luna, EPO, Media Luna West, Media Luna East, and Todos Santos; and
* Advancing targets through the growth pipeline: Strengthening the exploration target pipeline to deliver new discoveries across Morelos by prioritizing best-ranked projects, including zones currently identified as El Naranjo, Atzcala, Esperanza, Querenque, Tecate, El Olvido, and Victoria.
