Luca Mining Thrives with New Production Strategy for 2025
Luca Mining Achieves Milestone in Production Efficiency
Luca Mining Corp. is excited to share recent developments from its operations, as the company has reached a significant milestone. Achieving commercial production at its Tahuehueto site is a pivotal moment for the company, demonstrating its commitment to growth and operational excellence.
Commercial Production at Tahuehueto
In March, Luca Mining successfully transitioned to commercial production at the Tahuehueto mine, maintaining a consistent throughput rate exceeding 800 tonnes per day. This achievement is the result of intensive efforts by the operational team, which has worked diligently to optimize performance and ensure sustainability in output.
Commenting on this significant milestone, President Ramon Perez expressed that this achievement reflects the effectiveness of the team's optimization initiatives. The production at Tahuehueto positions Luca not just for immediate success but creates a strong foundation for future growth. The operational team continues to focus on enhancing efficiencies and maximizing the mine's capability to deliver stable output, contributing significantly to the company’s long-term value creation.
2025 Production and Financial Outlook
Looking forward to 2025, Luca Mining anticipates a production range between 85,000 and 100,000 gold equivalent ounces, with payable ounces expected between 65,000 and 80,000. The anticipated free cash flow for the upcoming year is expected to be between $30 million and $40 million, showcasing strong operational capabilities that can generate ample cash flow from its producing mines.
A core aspect of the company's strategy involves ramping up operations at Campo Morado to achieve a sustainable mill feed. By the close of 2025, Luca has set ambitious targets to increase throughput to over 2,000 tonnes per day. Continuous optimization projects are underway to improve metal recovery rates and maintain consistency in grade, particularly through enhancing grinding methods and tweaking reagent dosing technologies.
Strategic Infrastructure Enhancements
At Tahuehueto, further developments are planned, including a new spare parts warehouse aimed at reducing downtime and fortifying operational resilience. The company is keen to enhance the throughput capabilities at the mill and is actively exploring regional targets that take advantage of the properties' extensive epithermal vein systems.
Moreover, the company is also focusing on debt elimination by mid-2026, bolstered by robust cash flow and the potential exercise of existing warrants, suggesting a strong pathway to financial health and flexibility.
Investing in Growth and Future Exploration
In 2025, Luca Mining is poised to invest approximately $27.4 million into its operations, with about $23.5 million earmarked for sustaining capital expenditures across its mines. Exploration initiatives in particular are set to benefit from this funding, as a minimum 5,000-metre exploration program is outlined to expand on existing mineral resources, supporting long-term production continuity.
The Campo Morado mine will see substantial investment, with $10 million allocated for development and an additional $3 million for infrastructure improvements, including the processing plant and tailings storage facility. Furthermore, 5,000 metres of drilling, amounting to $1.3 million, aims to identify and deepen high-grade resources.
Continued Success in Field Operations
At Tahuehueto, $10.5 million is budgeted for mine development, which includes significant infrastructure improvements and plant enhancements. A dedicated exploration budget of $2.6 million is set to engage in 5,000 metres of targeted drilling, prioritizing resource expansion strategies and potential adjustments to mine operational duration.
About Luca Mining Corp.
Luca Mining Corp. (TSXV: LUCA, OTCQX: LUCMF) is a Canadian mining company with its operations rooted in the rich Sierra Madre mineral belt in Mexico. The company boasts two successful mines, Campo Morado and Tahuehueto, both of which are 100%-owned by Luca. Luca Mining is committed to optimizing recovery and enhancing overall operations, targeting stability alongside ambitious growth.
The Campo Morado operation focuses on producing copper-zinc-lead concentrates with prospects for precious metals credits, while Tahuehueto is aligned toward gold-silver production, having commenced commercial production in recent months. These developments highlight Luca Mining's significant position within the mining community as it aims to foster long-term success in the industry.
Frequently Asked Questions
What is the latest production milestone achieved by Luca Mining?
Luca Mining has recently achieved commercial production at its Tahuehueto operation, marking a significant step forward for the company.
What is Luca Mining's production guidance for 2025?
The company anticipates producing between 85,000 and 100,000 gold equivalent ounces in 2025.
What are the key financial forecasts for Luca Mining?
Free cash flow is expected to range between $30 million and $40 million for the upcoming year, indicating strong operational performance.
What investments are planned for 2025?
Luca plans to invest approximately $27.4 million into its operations, focusing on sustaining capital and exploration initiatives.
Where does Luca Mining operate?
Luca Mining operates two 100%-owned mines in the Sierra Madre mineral belt in Mexico, producing a variety of metals including gold, silver, copper, zinc, and lead.
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