TOREX GOLD ANNOUNCES TEMPORARY SUSPENSION OF OPERATIONS AT EL LIMÓN GUAJES FOLLOWING FEDERAL COVID-19 DECREE

TORONTO, April 02, 2020 (GLOBE NEWSWIRE) -- Torex Gold Resources Inc. (the “Company” or “Torex”) (TSX: TXG) announces that consistent with the COVID-19 related decree issued by the Government of Mexico for all non-essential businesses in the country to temporarily suspend operations, production at the Company’s El Limón Guajes mine will be suspended until April 30, 2020.  Guidance is also suspended until further notice.

Fred Stanford, President & CEO of Torex, stated:

“A 72-hour planned maintenance outage in the processing plant started on the morning of March 31^st. Production will not be restarted at the conclusion of this planned maintenance. A care and maintenance team will be kept on site to maintain protections for the environment and to keep the facilities and equipment in a state of production readiness. We have done this before and are good at it.

“Our balance sheet is well positioned to weather this pandemic, with a strong cash position. The ‘balance sheet’ of our employees will also be maintained through this period of suspension with the continued receipt of base compensation and the upcoming receipt of the 2019 profit sharing payments for Mexico based employees. Corporate work is expected to continue. When times are unsettled, the workload for the corporate team tends to increase.

“Absent pandemic related issues, we had expected to maintain previously disclosed guidance. At this time, there is no clear line of sight as to when, how often, and how long this pandemic is going to affect the ability to produce. We don’t anticipate re‑establishing guidance until we have a clear line of sight as to the pandemic related ability to produce during 2020.

“A special thanks to our employee and contractor teams that have wholeheartedly adopted the measures needed to protect against this contagion. There have been no known or suspected cases of COVID-19 infection within our teams and to our knowledge within their families. Well done!  Many of you have expressed a commitment to continue to use those measures and to continue to produce. Unfortunately, regardless of our preparations and diligence, decisions made by authorities during a global crisis are necessarily ‘broad brush’. Exceptions are difficult to make until a pathway to controlling the crisis is firmly established. Such is life. In the meantime, know that your contributions are truly appreciated and please continue to use the contagion protection measures to keep your loved ones safe. Better days ahead and I look forward to seeing everyone on the other side!”