In the rugged heart of Guerrero, a mining revolution is quietly taking shape. Media Luna stands at the crossroads of innovation and impact, blending ambitious production goals with pioneering technologies and deep local engagement. For decision‑makers, investors, and future business leaders, this project offers an inside look at how a modern mine can achieve scale—targeting 350,000–450,000 ounces annually—while setting new benchmarks in sustainability and shared prosperity. Over the coming sections, we’ll unpack how Media Luna’s strategic design—from electric vehicle fleets and cross‑river tunnels to robust social programs—charts a course for 21st‑century mining success.
Strategic Importance & Scale
Media Luna is more than a new deposit—it’s the centerpiece of Torex Gold’s transformation from open‑pit producer to underground innovator. Designed for a steady‑state output of 350,000–450,000 gold‑equivalent ounces per year, the project anchors the Morelos mining complex’s next decade. Rather than erecting standalone facilities, Torex leveraged its existing El Limón‑Guajes processing plant, linking it to Media Luna via a 7 km tunnel beneath the Balsas River—an engineering feat that delivers ore directly to the mill, day in and day out, rain or shine.
This integration cuts capital intensity and streamlines operations, ensuring predictable throughput and rapid ramp‑up. “By partnering new resources with proven infrastructure, we accelerate payback and de‑risk execution,” notes Jody Kuzenko, President & CEO. The result is a mine built for longevity: Media Luna’s sizable reserves and seamless connectivity underpin a production profile that withstands commodity cycles and elevates Mexico’s status in the global gold arena.
At a time when mining projects struggle with escalating costs and social license challenges, Media Luna’s strategic design—anchored in scale, efficiency, and local integration—sets a new standard. It demonstrates that smart, infrastructure‑driven growth can deliver robust returns while laying a firm foundation for innovation, community partnership, and environmental stewardship in the decades ahead.
Infrastructure Milestones
At Media Luna, infrastructure isn’t an afterthought—it’s the strategic bedrock enabling seamless operations and community harmony. Two signature projects exemplify this approach:
1. The Balsas River Tunnel
Imagine a 7 km tunnel carved beneath a roaring waterway—no small feat in any corner of the globe. By linking Media Luna’s South Portal with the El Limón‑Guajes processing plant, this tunnel enables direct, gravity‑assisted ore transport, slashing haulage time and eliminating the need for disruptive surface road traffic. Its robust design tolerates seasonal floods and seismic shifts, ensuring uninterrupted feed to the mill. “That tunnel is the spine of our operation,” explains Jody Kuzenko, President & CEO. “It embodies our philosophy: plant new assets but lean on proven infrastructure to de‑risk the project and accelerate value.”
2. 230 kV Power Upgrade
To fuel cutting‑edge machinery and a 7,500 tpd production rate, Media Luna required a substantial power boost. The answer: a dedicated 230 kV transmission line, delivering stable, high‑capacity power from the national grid. This upgrade reduces transmission losses, enhances reliability, and paves the way for future electrification—critical as battery fleets and automation expand. Strategic routing minimized visual and environmental impact, preserving local landscapes and community aesthetics.
Together, these infrastructure milestones do more than move ore or electrons—they signal a long‑view mindset. By embedding core logistics and utilities underground or along thoughtful corridors, Torex Gold has crafted a resilient, low‑footprint operation designed to endure both market swings and environmental challenges.
Economic & Employment Impact
Media Luna pulses at the center of Guerrero’s economy. With 1,200 direct employees, 3,000 contractors, and an estimated 13,000 indirect jobs across local service and supply chains, the mine contributes roughly 3% of the state’s GDP. From community workshops to heavy‑equipment operators, Media Luna has become one of the largest employers in the region—fueling livelihoods and local enterprise.
Torex Gold’s Operational Readiness Program, launched in 2022, formalized this economic uplift. By year‑end 2024, the program had onboarded 83% of its targeted workforce, blending new hires with talent transitioned from the El Limón open pit. Training initiatives—ranging from simulator‑based safety drills to hands‑on EV maintenance courses—ensure that local workers operate the very battery‑electric fleets reshaping underground mining.
“I’m proud to announce that we have accomplished one of the last key milestones associated with the Media Luna Project... funding the project almost entirely through the generation of cash from our existing operations at ELG,” said Jody Kuzenko, President & CEO, highlighting how self‑funding has enabled robust local hiring without diluting capital discipline.
Local procurement is equally powerful. In 2024, Torex directed 92% of its USD 929 million spend to Mexican suppliers—67% of which remained within Guerrero—catalyzing secondary jobs in construction, catering, logistics, and equipment maintenance. Annual investments of over USD 3.5 million in regional training, infrastructure upgrades, and small‑business grants further deepen this multiplier effect.
“Our objective is to deliver Media Luna to full production and build EPO; optimize costs; and retain the best industry talent,” explained Dave Stefanuto, Executive VP of Technical Services & Capital Projects, underscoring how strategic hiring and local engagement drive both operational excellence and socioeconomic impact.
In sum, Media Luna’s economic footprint marries scale with sustainability—creating high‑value jobs, reinforcing regional supply chains, and feeding back into the community that hosts its operations.
Community & Social Investment
For Media Luna, the mine’s success is inseparable from the well‑being of Guerrero’s communities. Each year, Torex Gold channels millions of dollars into programs that span education, healthcare, clean water, and entrepreneurship—aimed at creating lasting social value beyond the mine’s footprint.
- Education & Training: Scholarships and school‑based STEM workshops put local youth on pathways to technical and managerial careers. Partnering with regional universities, Torex funds research chairs in mining engineering and environmental sciences, ensuring the next generation of professionals emerges from Guerrero’s campuses.
- Healthcare & Infrastructure: Mobile medical units and upgraded clinic facilities deliver dental, vision, and general care to villages previously beyond easy reach of health services. Recent investments included a US $1.2 million upgrade of the community health center in Juanacatlán, reducing travel time for 5,000 residents.
- Water & Sanitation: Recognizing water’s centrality in a semi‑arid landscape, Media Luna’s clean‑water projects now provide safe drinking water to over 10,000 households. New pipeline networks and filtration stations reflect Torex’s commitment to shared resource management.
- Entrepreneurship & Business Development: Through micro‑loan programs and mentorship, local entrepreneurs have launched ventures in agro‑processing, hospitality, and artisanal services—fostering a diversified regional economy less reliant on mining alone.
Torex’s leadership frames these investments as core to operational resilience. As Jody Kuzenko, President & CEO, stated at the 2024 Community Roundtable:
“By investing in health, education, and economic diversification, we build the social license that sustains us through every business cycle. Our community’s prosperity is inseparable from our own.”
This strategic approach—melding capital projects with genuine social uplift—turns Media Luna into a catalyst for regional transformation. It’s a model where mining revenues fuel community development, and community trust, in turn, underpins a stable, enduring operation.
ESG & Responsible Mining
Media Luna’s license to operate rests on rigorous environmental stewardship and transparent governance. Guided by the World Gold Council’s Responsible Gold Mining Principles and the International Cyanide Management Code, Torex Gold has woven ESG into every step of Media Luna’s development and daily operations.
Environmental Management
Operating under a consolidated environmental permit, Media Luna recorded zero reportable environmental incidents in 2024. Water stewardship is a hallmark: 58% of process water is recycled, reducing freshwater withdrawals in a semi‑arid region. Tailings are managed with filtered paste deposition, conforming to the GISTM standard to minimize seepage and footprint. Non‑mineral waste recycling reached 60% last year, diverting hundreds of tonnes from landfill.
“Responsible mining isn’t a slogan—it’s our operating principle,” affirms Jody Kuzenko, President & CEO, in the 2024 ESG report. “By exceeding standards on water reuse, waste reduction, and emissions, we not only protect Guerrero’s environment but also strengthen our social license.”
Social & Safety Governance
With 99% Mexican nationals on staff—70% from Guerrero—Media Luna exemplifies local empowerment. Community Development Agreements channel US $3.5 million annually into local infrastructure and social programs. Safety performance is equally impressive: a lost‑time injury frequency of 0.31 per million hours underscores the effectiveness of proactive hazard monitoring and training.
“Our safety and community metrics are more than KPIs—they’re proof that rigorous governance delivers real-world benefits,” says Dave Stefanuto, EVP Technical Services & Capital Projects.
Supplier & Contractor Partnerships
Media Luna’s modern mining agenda is delivered through a tightly woven ecosystem of global leaders and home‑grown specialists. Their combined expertise powers everything from daily operations to strategic expansions:
- Sandvik Mining and Rock Solutions brings the 35‑unit electric/hybrid fleet, complete with real‑time diagnostics and energy management. According to Jody Kuzenko, President & CEO:
“Our collaboration with Sandvik transforms how we think about underground mobility—clean, efficient, and data‑driven.”
- Dumas Mining / STRACON Group holds the vital multi‑year contract for vertical development and tunneling, including excavation of the 7 km Balsas River tunnel. Their precision and safety track record have kept the project ahead of schedule and under budget.
- PROK supplies conveyor pulleys and idler strings in the material‑handling network, ensuring that bulk ore movement meets the mine’s 7,500 tpd design rate with minimal downtime.
- Local Mexican firms across power, civil works, logistics, and catering capture 92% of Torex’s USD 929 million procurement, with 67% retained within Guerrero. This approach fosters regional supply‑chain resilience and embeds skill development in local communities.
“By championing local contractors alongside global experts, we ensure each peso circulates in Guerrero—building both infrastructure and local capacity,” notes Dave Stefanuto, EVP Technical Services & Capital Projects.
This balanced partnership model —where international technology meets local know‑how—fortifies Media Luna’s operational excellence and amplifies its socio‑economic footprint in the region.
Diversity, Inclusion & Workforce Integration
Media Luna’s strength lies in its people—and Torex Gold has built a workforce strategy that places local inclusion and diversity at its core. In 2023–2024, 70% of the 1,200 direct employees and a majority of the 3,000 contractors hailed from Guerrero, reflecting a deliberate policy to integrate host‑community talent into every level of operation.
Training and mentorship programs ensure upward mobility. From entry‑level equipment operators to underground supervisors, local hires gain access to hands‑on training with battery‑electric vehicles, simulator‑based safety drills, and leadership courses. Women, traditionally underrepresented in mining, now fill critical roles in engineering, geology, and environmental management—driven by targeted recruitment and scholarship initiatives.
“Building a diverse, locally rooted team isn’t philanthropy—it’s our competitive advantage,” says Jody Kuzenko, President & CEO. “By investing in Guerrero’s people, we secure both social license and a pipeline of skilled professionals critical to Media Luna’s success.”
Apprenticeships with regional technical institutes and joint scholarship programs for indigenous students expand the talent pool further. This integrated approach not only enriches company culture but also forges enduring bonds between the mine and its neighboring communities—essential for long‑term stability and shared prosperity.
Expansion Potential & Exploration
Media Luna is just the opening act in Torex Gold’s broader Morelos playbook. Beyond the primary orebody lie satellite targets—Media Luna West, Media Luna East, EPO, and Todo Santos—each within trucking distance of existing portals and poised to extend mine life and production.
Initial drilling campaigns in 2023–2024 returned high‑grade intercepts, affirming the potential to bolster reserves without reinventing the wheel. Rather than fund brand‑new infrastructure, Torex can tap these deposits via deviations off the main haulage drives, accelerating development and optimizing capital outlay.
“Our exploration strategy is built on warehouse logistics—expand where we’re already digging,” explains Dave Stefanuto, EVP Technical Services & Capital Projects. “Early results in the West and East zones have us confident in extending Media Luna’s life and value generation well into the next decade.”
This synergy between exploration and infrastructure not only de‑risks capital but also reinforces the mine’s social and economic footprint—each new zone translates to additional local jobs, extended procurement contracts, and community programs that grow in tandem with operations. As geopolitical and commodity cycles shift, Media Luna’s layered approach ensures Torex Gold can pivot nimbly—scaling up when markets favor growth or preserving capital when prudent—while sustaining its commitment to Guerrero’s prosperity.
Resilience, Risk Management & Future Outlook
Media Luna’s robust design isn’t only about today’s production—it’s engineered to withstand tomorrow’s uncertainties. A self‑funded development model, primarily supported by cash flow from El Limón‑Guajes, has insulated the project from volatile capital markets and preserved balance‑sheet flexibility.
Resilience by Design
Key infrastructure, such as the flood‑resilient 7 km Balsas River tunnel, underpins uninterrupted ore transport even during extreme weather. Redundant power routing via the 230 kV transmission line safeguards against grid interruptions, while paste‑filtered tailings storage minimizes water use and environmental risk. Together, these systems reduce the number of single‑points of failure and fortify Media Luna against operational shocks.
Risk Management Framework
Torex employs real‑time monitoring—from geotechnical sensors in headings to automated health diagnostics on its electric fleet—to preempt issues. Emergency response drills, rigorous safety protocols, and continuous training have driven the lost‑time injury rate to 0.31 per million hours, affirming that safety performance is integral to risk mitigation, not an afterthought.
“We engineer our risk controls into the project from day one—because a resilient mine is a profitable and sustainable one,” says Jody Kuzenko, President & CEO.
Future Outlook
With steady‑state production on track at 7,500 tpd by mid‑2026, Media Luna is positioned to deliver 350,000–450,000 gold‑equivalent ounces annually, with exploration set to extend its life well into the 2030s. Torex’s phased approach—tying capex to clear milestones and market signals—ensures it can scale expansion or conserve capital based on commodity cycles.
“Our scenario‑based planning means we’re ready for higher prices, but also prepared if markets tighten—either way, we protect value,” adds Dave Stefanuto, EVP Technical Services & Capital Projects.
As Media Luna moves from ramp‑up to full production, its blend of strategic infrastructure, technological innovation, and community integration forms a blueprint for modern mining. For executives and investors seeking resilient, ESG‑forward assets, Media Luna exemplifies how to balance robust returns with lasting social and environmental dividends—inviting further research into one of Latin America’s most promising mining ventures.
Conclusion
Media Luna’s journey from concept to cash‑flowing underground operation offers a road map for 21st‑century mining. It demonstrates that scale, innovation, and stakeholder alignment can coexist, driving financial performance while nurturing the communities and ecosystems that host the mine. For C‑level leaders, investors, and MBA strategists, the project presents a case study in aligning capital discipline with bold ambition—underscoring why Media Luna deserves a closer look in any modern mining portfolio.
