Altaley Mining Updates Tahuehueto Mine Pre-production Mill Commissioning and Advises of Change of Control Person
Altaley Mining Corporation
1000 – 1111 Melville St.
Vancouver, BC, V6E 3V6
www.altaleymining.com
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Altaley Mining Updates Tahuehueto Mine Pre-production
Mill Commissioning and Advises of Change of Control
Person
VANCOUVER, BRITISH COLUMBIA – JUNE 27, 2022
Altaley Mining Corporation (TSXV: ATLY) (OTCQX: ATLYF) (FSE: TSGA) (the " Company" or
"Altaley") is pleased to update shareholder s on the commissioning , pre-production, and
construction progress at its Tahuehueto Gold Mine.
The operations team have been diligently resolving various start-up issues related to the water
supply pipeline and mill commissioning and, over the past week have successfully achieved
ongoing pre-production with the 1st 500 tpd ball mill. Recently, processing has been stabilized
with the mill achie ving ore throughput up to 350 tpd and averaging approximately 195 tpd
over the past 5 days.
Mill throughput is estimated to remain at current levels over the next two weeks with
crushing being handled with a provisional cone crusher while the permanent crushing circuit
installation is being finalized and anticipated to be operational within the next two weeks and
thereafter the ball mill throughput will be ramped up to capacity.
To date approximately 260 tonnes of bulk concentrate d has been pro duced at Tahuehueto.
Two shipments of approximately 30 tonnes each have been shipped to Trafigura for sale .
These initial batches of concentrate were produced from low-grade ore on purpose as original
feed testing at the ball mill start -up. Revenue received from the 1st shipment was
approximately US$42,000 paid for gold , silver, and lead . The second delivery payment is
pending. Another 70 tons of concentrate is in the process of being shipped from Tahuehueto
to Tepehuane s subsequently to be trucked and sold to Trafigura in the coming days. The
Tahuehuto operations team estimate that there are approximately another 150 tonnes of
concentrate available, drying on the mill patio and within the thickeners available to be
filtered for drying on the patios.
The tailings storage facility is in the final stages of construction and expected to be ready to
receive dry stack tailings within 45 days. Tailings currently being generated are being filtered
and stored as additional backfill underground.
The Tahuehueto Laboratory is essentially ready to be operational and technicians are
calibrating ICP and ancillary equipment expected to be fully operational over the next few
days.
Altaley Mining Corporation
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Installation of the second 500 tpd ball mill is scheduled over the next several months and the
Company anticipates the project will be able to commission this mill during Q4 2022 and
ramp up production towards the mine’s designed capacity of 1,000 tpd near the end of 2022.
“Although the commissioning phase of Tahuehueto’s first ball mill has taken longer than
anticipated, management is optimistic that most of the start-up issues are behind us and that
the project will be able to maintain steady state production with the initial ball mill and
thereby begin to increase Tahuehueto’s concentrate sales and revenue over the coming
months.” states Ralph Shearing, CEO & President
Controlling Shareholder Intent to Sell
The Company has been advised that Mr. Roberto Guzman Garcia has filed a Form 45 -102F1,
Notice of Intention to Distribute Securities under Section 2.8 of NI 45-102 Resale of Securities.
Mr. Guzman has informed the Company that he intends to sell u p to 50 million share s, a
majority of his 68,160,172 controlling share position of Altaley as part of a restructuring of his
Mexican real estate business. The sale s will be made in a series of private transaction s or
through pre-arranged crosses through the facilities of the TSX Venture Exchange . The
purchasers are acquiring the shares as a long -term investment recognizing the underlying
intrinsic value of Altaley’s mining assets. It is not anticipated that any of the purchasers will
become 10% or greater shareholders of the Company. Mr. Guzman will retain direct or indirect
ownership of approximately 18.16 million Altaley shares as a director and significant
shareholder of the Company
About Altaley Mining Corporation
Altaley Mining Corporation is a Canadian based mining company with two 100% owned
Mexican gold, silver, and base metal mining projects.
Altaley's Tahuehueto mining project is in north -western Durango State, Mexico where
construction has been advanced to near completion on its 1,000 tonne per day processing
facility and related mine infrastructu re for production of gold, silver, lead, and zinc in
concentrates at Tahuehueto. The Company began initial pre-production in May 2022 and will
be ramping up to full production capacity late 2022.
Campo Morado is an operating polymetallic base metal mine with mining and milling
equipment currently producing at an average of 2, 400 tonnes per day and is currently
estimated to be Mexico’s 6th largest zinc producer.
Visit: www.altaleymining.com
On Behalf of the Board of Directors
(signed) “Ralph Shearing”
Ralph Shearing, P. Geol,
CEO, President, and Director
Altaley Mining Corporation
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CAUTIONARY NOTE REGARDING PRODUCTION DECISIONS AND FORWARD -LOOKING
STATEMENTS
It should be noted that Altaley declared commercial production at Campo Morado and elected to initiate construction to go into
production at Tahuehueto prior to completing full feasibility stud ies demonstrating economic and technical viability.
Accordingly, readers should be cautioned that Altaley’s production decisions have been made without comprehensive feasibility
studies of established reserves at Campo Morado and prefeasibility level reserves at Tahuehueto, such that there is greater risk
and uncertainty as to future economic results from the Campo Morado mine and at Tahuehueto mine where reserves are
established to the prefeasibility level of confidence and therefore a higher technical risk of failure than would be the case if full
feasibility studies were completed and relied upon to make production decisions. Altaley has completed a preliminary economic
assessment (“PEA”) mining study on the Campo Morado mine and a prefeasibility study (‘PFS”) at Tahuehueto mine that provides
a conceptual life of mine plan and a preliminary economic analysis based on the previously identified mineral resources (see
News Release dated November 8, 2017, April 4, 2018, and April 25, 2022).
Statements contained in this news rel ease that are not historical facts are "forward -looking information" or "forward -looking
statements" (collectively, "Forward-Looking Information") within the meaning of applicable Canadian securities laws. Forward -
Looking Information includes but is not li mited to conditions or financial performance that are based on assumptions about
future economic conditions and courses of action; the timing and costs of future activities on the Company's properties, such as
production rates and increases; success of exp loration, development and bulk sample processing activities, and timing for
processing at its own mineral processing facility on the Tahuehueto project site. In certain cases, Forward -Looking Information
can be identified using words and phrases such as "plans," "expects," "scheduled," "estimates," "forecasts," "intends," "anticipates"
or variations of such words and phrases. In preparing the Forward -Looking Information in this news release, the Company has
applied several material assumptions, including, b ut not limited to, that the current exploration, development, environmental
and other objectives concerning the Campo Morado Mine and the Tahuehueto Project can be achieved: the continuity of the
price of gold and other metals, economic and political conditions, and operations. Forward-Looking Information involves known
and unknown risks, uncertainties and other factors which may cause the actual results, performance, or achievements of the
Company to be materially different from any future results, performance or achievements expressed or implied by the Forward-
Looking Information. There can be no assurance that Forward -Looking Information will prove to be accurate, as actual results
and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue
reliance on Forward-Looking Information. Except as required by law, the Company does not assume any obligation to release
publicly any revisions to Forward-Looking Information contained in this news release to reflect events or circumstances after the
date hereof or to reflect the occurrence of unanticipated events.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of this release.
For further information about Altaley Mining Corporation, please contact:
Glen Sandwell
Corporate Communications Manager
Tel: +1 (604) 684-8071