Remember one of the names of Minera Santa Elisa directors in 2012:

http://personasperu.com/minera-santa-elisa-sac-20513417676.html

Follow the link below for the complete story....it is very interesting.

http://ceo.ca/2015/05/21/a-mining-investors-guide-to-toll-milling-in-peru/

The Dark Horse – Standard Tolling Corp. (TON; $0.14)

Len Clough, the gregarious CEO of Standard Tolling, is not a geologist or an engineer, and he would be the first person to tell you that. Len is a market-focused CEO with a background in wealth management.

He’s also an executive with a clear vision for his company, and he has been tireless when it comes to pulling together one of the most impressive and experienced technical, legal and management teams in the toll milling space.

A quick look at TON’s management line up shows they are a force to be reckoned with:

• Carlos Mirabal – Previously CEO of Orvana Minerals, where he oversaw the ramp-up of milling operations from 650 tpd to 3,000 tpd. Mr. Mirabal also brought 3 of his top engineers/operators with him to TON.
• Alex Davidson – Formerly EVP Exploration and corporate development for Barrick Gold.
• Luis Rodriguez Mariategui Canny – A Peruvian mining lawyer, one of the most experienced and well-connected in the country.
• Carlos H. Fernandez Mazzi – Previously CEO of Minera San Cristobal as well as the W.J. Clinton Foundation’s Clinton Giustra Sustainable Growth Initiative in South America.

When I first met Len last month in his Vancouver office he proudly told me:

“This is it, I’m the only one here, we even contract out our admin service! Everything else is in Peru – In our offices down there, on site down there. That’s where the money goes.”

And it’s true. TON’s management prides themselves on being predominantly a Peruvian company. In addition to this, Len and his team are carefully husbanding every dollar they have. Nearly everything is done in-house, from the majority of the legal work, the engineering and design, to the guys welding and laying the concrete on site. There are no expensive contractors, and everything is carefully monitored by the management team.

Unlike all of the other companies discussed in this article, who are located in the South of Peru around Chala and Arequipa, TON is located in the North of the country. This is where both their biggest advantage and greatest challenges lie.

Standard Tolling’s mill, under construction

TON’s soon-to-be-commissioned 150 tpd mill is located in La Libertad near the city of Huamachuco. Located 10.5 hours from Lima, it’s a historic mining district known for its high grades. It’s also known for corruption, lax regulatory enforcement, various criminal elements, and generally for just being sketchier than the South.

It’s also not easy to get there, but that’s the point.

Because TON is opening up shop in the remote northern mining district, they are offering the remote northern miners the chance to skip the gruelling 1,500 km multi-day drive required to take their ore to the mills in the South.

TON intends to offer miners a legal, transparent milling option in their own backyard, in a region where they have next to no competition. That’s a huge advantage.

Let’s take a quick look at TON:

• In December 2014 they raised $2,642,500 in equity.
• In March 2015 they raised an additional $1.82M..
• Also in December 2014 they purchased an existing mill for $500,000; paying about $100,000 in cash and the rest in shares.
• With the purchase of that mill they inherited $1.3M in debt from the former owner. They are currently paying interest on this debt with the balance due at the end of the year.
• TON has also raised nearly $1.5M in debt, by selling ore notes, and plans to close an additional $750,000 this week. This is essentially cash to purchase ore with. Interest on the ore notes is 10%, as well as a 2% NSR production component. The notes are good for three years.

As it stands, TON has purchased the mill, has nearly $4M in cash in the bank and has just started buying ore (May 18). The plan is to begin producing by the end of June, and currently they are on track to do just that.