Tahoe Resources Inc. (NYSE:TAHO) has hit a nice size speed bump in their mining operations in Guatemala. Over the weekend, protesters from a nearby community stormed the mines causing a disruption in operations. The La Ramada community demanded payments for the alleged negative impacts of the mine being so close to their homes.
The situation has been boiling for a while in their Guatemalan operations, recently dealing with kidnappings and abductions of workers and security personal working the mines.
Additionally, the Ministry of Energy and Mines has put a halt to the companies mining operations until they complete a consultation with the nearby communities.
Shares of the mining company have declined over 24% in the last two days following the negative news regarding their Guatemalan silver mine.
Although the news is negative, there is light at the end of the tunnel. Tahoe Resources will be able to operate after the Ministry of Energy and Mines “completes a consultation with the local Xinka community.”
The downtime is not certain but is expected to take at least 6 months to do so. That being said, Tahoe Resources will need to make do with what they’ve got until they hear back from the Guatemalan Ministry of Energy and Mines.
About Tahoe Resources, Inc.
Tahoe Resources, Inc. engages in the exploration, development, operation, and acquisition of mineral properties for the mining of precious metals in the Americas. It also produces silver, gold, lead, and zinc from mines locates in Guatemala, Peru, and Canada. The operates through the following business segments: Escobal, La Arena, Shahuindo, and Timmins Mines. The Escobal segment focuses on silver mining operation located in southeastern Guatemala. The La Arena, and Shahuindo segments covers gold mining operations located in northwestern Peru. The Timmins Mines segment consists of gold mining operation located in Northeastern Ontario, Canada. Tahoe Resources was founded by C. Kevin McArthur on November 10, 2009 and is headquartered in Reno, NV. Read more at http://thestockmarketwatch.com/stock/?stock=TAHO#cd2vj4SGyUhc8ApR.99