NEW MANAGEMENT
Three months were necessary to identify the situation of the company and its organization, the conclusions are obvious, Tahuehueto did not comply with the conclusion of the project construction on the different promised dates and there is a considerable delay and over budget. The new plans are the same as three years ago, dividing the project into two stages of 500tpd and 1000tpd.
New CEO must take in consideration that past management diluted the company more than 100% to obtain financing that were not reflected in value and positive results.
As example, before the past management, in Tahuehueto more than 40,000 tons of ore were processed in toll mills and which despite not having adequate equipment were successful, obtaining very good technical and economic results, so it is difficult to understand why after three years past management have not been able to produce quality concentrates regularly.
Also incredible are the excuses about the drop in production at Campo Morado, a mine that has been operating for several years, where there is full knowledge of the ore deposit and its conditions, so there should be no surprises like those that have been affecting the projected production.
With the new financing scheduled the company will be substantially diluted again. Shareholder hope that these new resources, this time, will be correctly applied with discipline and improvement.
Shareholders wish success to the new management and we will be waiting for 2023 budget and detailed plan as well for a monthly updates on compliance.