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New Junior Silver Company To Strike It Rich in Guatemala
By Charles Kubach, Mine-Engineer.Com
December 23, 2012
A Canadian Miner, Tahoe Resources, is in the final stages of opening their Escobal underground mine and mill. It is expected to be complete in June 2013. Silver production is expected to begin in 2014. The projected life of the mine is 20 years, with reserves to provide 20 million ounces of silver per year, with a total cost of $9.50/ounce. With the current price of silver at $29/ounce, and using a average price of $20/ounce, this is a profitable venture. They have expended a bit of money to get this off the ground, but if all goes close to projections, they will recoup this in a reasonable time frame, and show some nice profits as well. After all, profits are why business operates.
The benefit for Guatemala citizens is very large, since this mine will employ a few hundred citizens in good paying mining jobs, and support services will employ many more hundreds of citizens in good paying jobs. The government will receive royalties and taxes from the mine and employees. The standard of living for all involved will improve, and continue to improve as long as the government does not create unreasonable regulations, laws and increase taxes on this industry. Other mining companies will follow and give their economy a big boost, along with raising the standard of living for the citizens of Guatemala.
Here's to successful mining in Guatemala and to a prosperous future for both the mining company and the residents involved in this venture.
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