Mexico’s proposed higher mining royalties could block nearly $7bn in investments
The Mexican government proposed raising mining royalties under the argument that metal prices have risen in recent years.
After the market closed Manitoba-based San Gold Corporation (TSX:SGR)(OTCQX:SGRCF) announced that, due to failure of its ball mill pinion, milling has temporarily stopped at its Rice Lake Mining Complex.
In spite of the interruption the company is maintaining normal mining operations and is quick to point out their substantial improvement to milling capacity this quarter.
With repairs currently under way, regular milling operations are estimated to continue within the next three weeks.
San Gold explains that throughout the interim ore stockpiles are being created for when the mill is fully functional.
With peak production at 2,500 tonnes per day, and having consumed their stockpile before the incident, San Gold suggests they will still meet their annual guidance of 95,000 and 105,000 tonnes.
