Tahoe’s Escobal Won’t be Impacted by Guatemalan Moratorium

Tahoe Resources Inc. (TSX:THO,NYSE:TAHO) announced that Guatemala’s president, Perez Molina, and mining minister, Erick Archila, have said that the exploitation license for the company’s Escobal project will not be affected by the country’s recently announced two-year moratorium on the granting of new mining and exploration licenses.

As quoted in the press release:

Tahoe holds licenses on 158 square kilometres, including 20 square kilometres of which are held on the Escobal project. None of these licenses will be affected by the proposed action. A number of reconnaissance and exploration licenses remain pending, and this change is not expected to impact the company’s priority rights to these licenses in the future.

Kevin McArthur, president and CEO of Tahoe, commented:

Mine construction is going extremely well and preliminary commissioning activities are underway. While we are disappointed with the potential effects to our regional exploration programs, Tahoe will continue to work with the Guatemalan government to amend the mining law, ensuring a profitable mining industry and continued economic prosperity in the country.

While most of our prospective ground is in areas where we hold approved licenses, we will have to pull back on some of our regional work for a period of time.

Click here to read the full Tahoe Resources Inc. (TSX:THO,NYSE:TAHO) press release.