El Gallo is a 100%-owned, past-producing open-pit and heap-leach complex being redeveloped in two phases. Phase 1 will reprocess historical heap-leach material through a ball mill and recovery circuit, with tailings placed in the depleted Samaniego pit. The Phase 1 environmental approval extension was granted in December 2025, the mill has been purchased and delivered to site, and detailed engineering was well advanced in May 2026. The current plan targets at least ten years of Phase 1 operation at approximately 20,000 gold-equivalent ounces annually, with first production in mid-2027. Phase 2 would mine and process the El Gallo Silver deposits and could increase output to approximately 40,000-50,000 gold-equivalent ounces annually, but its permitting and updated resource work remain in progress. The 2021 feasibility study reported a $32 million after-tax NPV at an 8% discount rate and a 28% after-tax IRR, but its 9.5-year, $42 million development case has since been materially modified and should not be treated as the current Phase 1 economic case.
- Country
- Mexico
- Commodity
- Au
- Stage
- Construction