In the first week of November, we went to visit the Los Santos mine, one of the largest tungsten reserves in Spain, with a view to seeing current operations and discussing the other activities of the company in Spain, Australia and South Korea. The CEO of Almonty Industries (TSXV:AII), Lewis Black was on site at the time, as were staff that had worked at or visited the company’s other operations around the globe. Interestingly the staff are composed of a strong component of Portuguese mine staff, many of whom are known to the company management since the days when the Almonty team ran Primary Mining, which owned the Panasquiera Tungsten mine in Portugal.

 

The Los Santos scheelite deposit is in the province of Salamanca in western Spain. It is 180 km west of Madrid, 50 km south of the city of Salamanca. The drive to the mine from Salamanca is an easy one over a double carriageway most of the way through flat to lightly rolling landscape. The area around the actual mine is low hills with a mix of small holdings. The cultivation of pigs is the major industry in the region as the “capital of Jamon Iberico” is a small town nearby where the pigs fed on acorns produce this famous and costly product. 

 

Los Santos is a large village of around 2,000 people. The mine has become quite an important feature of the local economy over the nine years it has been operating. With around 65 contract staff and tens of direct employees, the mine has a significant trickledown effect in such a small community. It is also worth remembering that unemployment in Spain is 25% at this time and has been even higher since 2008 and that in isolated rural areas it can be significantly higher. The company has strong relations with local mayors and councils. It has even established its company “canteen” in the town, rather than out at the minesite. This has effectively doubled the number of eating places in the town!

 

The mine is one kilometre east of the town of Los Santos and there is a newly paved road to the mine gate.