ELG Open Pits

El Limon-Guajes Open Pits (ELG) are located north of the Balsas River and constitute some of the richest open pit gold deposits at a reserve grade of 2.7 g/t. They are amongst the largest and lowest cost gold mines in the world.

Mineral Resource Statement, End of Year 2017, El Limón and Guajes

Tonnes
(Mt)

Au Grade
(g/t)

Ag Grade
(g/t)

Contained Au
(Moz)

Contained Ag
(Moz)

El Limón (including El Limón Sur)

Measured

7.99

2.86

5.02

0.73

1.29

Indicated

20.77

2.87

5.07

1.92

3.38

Subtotal Measured and Indicated

28.76

2.87

5.05

2.65

4.67

Inferred

3.27

1.71

4.05

0.18

0.43

Tonnes
(Mt)

Au Grade
(g/t)

Ag Grade
(g/t)

Contained Au
(Moz)

Contained Ag
(Moz)

Guajes

Measured

2.19

2.53

2.28

0.18

0.16

Indicated

9.10

2.82

2.79

0.82

0.82

Subtotal Measured and Indicated

11.29

2.76

2.69

1.00

0.98

Inferred

0.45

1.49

2.60

0.02

0.04

Tonnes
(Mt)

Au Grade
(g/t)

Ag Grade
(g/t)

Contained Au
(Moz)

Contained Ag
(Moz)

El Limón and Guajes

Measured

10.18

2.78

4.43

0.91

1.45

Indicated

29.87

2.86

4.37

2.74

4.20

Total Measured and Indicated

40.05

2.84

4.39

3.65

5.65

Inferred

3.72

1.68

3.87

0.20

0.46

Notes to accompany El Limón and Guajes Mineral Resource Table 

  1. The qualified person for the Guajes estimate is Mark Hertel, RM SME, an MPH employee. The estimate has an effective date of December 31, 2017.
  2. The qualified person for the El Limon estimate is Mark Hertel, RM SME, an MPH employee. The estimate has an effective date of December 31, 2017. El Limon B Pit, where additional diamond drill information was available, was estimated and has an effective date of December 31, 2017.
  3. The qualified person for the El Limón Sur area within El Limón estimate is Mark Hertel, RM SME, an MPH employee. The El Limón Sur area has an effective date of December 31, 2017.
  4. Mineral Resources are reported above a 0.7 g/t Au cut-off grade.
  5. Mineral Resources are reported as undiluted; grades are contained grades.
  6. Mineral Resources are reported within a conceptual open pit shell.
  7. Mineral Resources are reported using a long-term gold price of US$1380/oz, silver price of US$21.00/oz
  8. The metal prices used for the Mineral Resources estimates are based on long-term consensus prices. The assumed mining method is open pit, mining costs used are US$2.18/tonne, processing costs US$19.09/tonne, general and administrative US$8.80/tonne processed.
  9. Recoveries gold 87% and silver 32%.
  10. Assumed pit slopes range from 33 to 49 degrees.
  11. Rounding as required by reporting guidelines may result in apparent summation differences between tonnes, grade, and contained metal content.
  12. Mineral Resources are reported using topography with mining progress as of December 31, 2017. Mining progress applies to both El Limon and Guajes Mineral Resources. Stockpiled material is not included within the resource table above.
  13. El Limon Sub Sill Underground Mineral Resource has been excluded from the Open Pit Mineral Resource.
  14. Mineral resources that are not mineral reserves do not have demonstrated economic viability.

ELG Open Pit - End of Year Reserves 2017

Reserve Category

Tonnes

Au Grade

Ag Grade

Contained Au

Contained Ag

(Mt)

(g/t)

(g/t)

(Moz)

(Moz)

El Limon (including El Limon Sur)

Proven

7.42

2.66

4.28

0.64

1.02

Probable

16.97

2.72

4.12

1.48

2.25

Sub-total Proven and Probable

24.40

2.70

4.17

2.12

3.27

Guajes

Proven

2.24

2.24

1.82

0.16

0.13

Probable

9.25

2.54

2.43

0.76

0.72

Sub-total Proven and Probable

11.49

2.48

2.31

0.92

0.85

Mined stockpiles

Proven

0.76

2.04

7.61

0.05

0.19

Total El Limon Guajes

Proven

10.42

2.53

3.99

0.85

1.34

Probable

26.22

2.65

3.53

2.24

2.97

Total Proven and Probable

36.64

2.62

3.66

3.08

4.31

Notes to accompany Mineral Reserve table:

  1. Mineral reserves are reported based on open pit mining within designed pits above in situ cut-off grades that are 0.80 g/t Au for all ore types. Mineral reserves incorporate and estimate for dilution and mining losses. The cut-off grades and pit designs are considered for the metal price of $US1,200/Oz and $US 17/oz silver
  2. Mineral reserves are founded on, and include within, El Limon and Guajes Mineral resource. Effective dates of mineral reserves is December 31, 2017 for the Guajes and El Limon deposits. For the El Limon Sur deposit the effective date is December 31, 2017. Stockpiles were as of December 31, 2017.
  3. The depletion that occurred during 2017 comes from mining carried out in Guajes and El Limon.
  4. Mineral Reserves were developed in accordance with CIM (2014) guidelines.
  5. Rounding may result in apparent summation differences between tonnes, grade, and contained metal content.
  6. The qualified person for the mineral reserve estimate is Victor A. Barua, AUSIMM member and a Torex employee.

Additional technical information is contained in the technical report entitled "Morelos Property, NI 43-101 Technical Report, ELG Mine Complex Life of Mine Plan and Media Luna Preliminary Economic Assessment, Guerrero State, Mexico" dated effective March 31, 2018, and filed on September 4, 2018 (the "Technical Report"). The technical information contained in this presentation is based upon the information contained in the Technical Report which is available on SEDAR as www.sedar.com and the Company's website at www.torexgold.com and as updated in the Company's continuous disclosure documents also available on www.sedar.com and www.torexgold.com.