Responsible Mining

Since December 2020, we have been a proud member of the World Gold Council (WGC) and a signatory to the Responsible Gold Mining Principles (RGMPs), a set of 10 Principles and 51 sub-principles which address key ESG issues material to the gold mining sector. In consultation with the world’s leading gold mining companies and key industry stakeholders, the RGMPs were designed to provide confidence to governments, investors, employees, communities, supply chain partners and civil society that gold is produced responsibly.

In 2022, Torex completed Year 2 implementation of the requirements of the RGMPs, including the publication of an RGMP Progress Report that was independently assured and made publicly available on our website. In 2023, we will continue the journey toward full internal compliance with the RGMPs by the end of the year, ahead of a full independent verification audit to be completed by August 2024.

Our Year 2 RGMP Progress Report can be found here.

The International Cyanide Management Code (ICMC) is a voluntary program developed under the guidance of the UN Environmental program in partnership with members of the former International Council on Metals and the Environment. It is a global best practice standard and certification program for the safe transportation, management, and disposal of cyanide. In 2021, we became a signatory to the ICMC to demonstrate our excellence and best practice in addressing risks associated with cyanide management. In 2022, a comprehensive pre-audit was completed, and an action plan is currently underway to close any remaining gaps ahead of a full certification audit by May 2024. For more information on the ICMC, click here.

The Company continues to advance progress to gain certification under the Mexican Industria Limpia (Clean Industry) program — a national, voluntary environmental audit program established by the environmental enforcement agency PROFEPA. The program consists of two components, namely an audit of environmental compliance and a review of good environmental practices. Certificates are granted by PROFEPA for a period of two years. An external audit by the PROFEPA registered auditors took place in 2022, and an action plan toward full certification will be completed in 2023.

We recognize the importance of providing clear, comprehensive, and credible information on the impacts of climate change on our business and our own impact on the climate. In 2022, Torex released its inaugural Climate Change Report aligned with the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD), which is publicly available on our website. We continue to refine our understanding of climate-related financial risks and opportunities, and will work toward providing additional disclosures as outlined by the TCFD as we move forward.

Torex strongly supports international calls for greater transparency and governance around tailings management. That is why in 2022, the Torex Board of Directors approved Management’s recommendation to work toward adoption of the Global Industry Standard on Tailings Management (GISTM), a global best-practice standard that was published in August 2020 by the International Council on Mining and Metals (ICMM), the United Nations Environment Program (UNEP) and Principles for Responsible Investment (PRI).

GISTM is comprised of 15 principles and 77 auditable requirements, which apply to tailings facilities throughout the entire mine lifecycle, including closure and post-closure. As such, Torex is working toward achieving compliance with GISTM by August 2025 for both its existing Filtered Tailings Storage Facility (FTSF) as well as its planned new in-pit tailings facility, which is part of the Media Luna Project.

The Voluntary Principles on Security and Human Rights (Voluntary Principles), which were established in 2000, are aimed at guiding companies on ensuring the safety and security of their operations within an operating framework that demonstrates respect for fundamental freedoms and human rights. In 2022, a third-party assessment was completed to identify potential human rights risks linked to security and found the Company demonstrates a high level of conformance with the Voluntary Principles. In 2022, security contracts were amended to include clauses on mandatory requirements associated with human rights, and training on the Voluntary Principles was conducted with all security personnel, which we plan to conduct annually going forward.

We have implemented an Environmental and Social Management System (ESMS), which is based on the International Finance Corporation’s (IFC) Environment, Health and Safety Guidelines. Our ESMS is made up of 15 management plans comprising a total of 54 mitigation measures to protect the soil, water, air, flora and fauna on our site. It is implemented by environmental specialists at our operations in Mexico, with oversight from our Executive Team. In 2019, an independent consultant conducted an audit on the compliance of all the IFC’s Environmental and Social Performance Standards, and we reached 100% compliance. For more information, click here.

Torex is working to support progress on the United Nations Sustainable Development Goals (SDGs). We recognize that we have an opportunity to positively contribute to all 17 of the SDGs as we work hand in hand with local communities and government officials to promote a positive and lasting socioeconomic impact. For more information on UN SDGs, click here.