The Mexican Ministry of Defence—who regulates explosives in the country—stepped in and suspended the mine's explosive and blasting permit on April 21.

Gatos noted there were no "physical injuries" caused by the incident and an investigation of blasting procedures in being conducted.

The processing plant has continued to operate normally and is to shut down for scheduled maintenance on April 28, Gatos said.

"In conjunction with completing the incident investigation this week, the company expects the reinstatement of CLG's explosives and blasting permit soon, together with the resumption of normal mine operations and processing activities next week," the company said.

Gatos' 70%-owned Cerro Los Gatos produced a record first quarter of 2.39 million ounces this year, which was up 58% from the same quarter a year earlier when operations were shutdown for two weeks because of a power failure.

First quarter lead and zinc production were 10.3 million and 13.8 million pounds—representing year on year increases of 36% and 58% respectively.

Gatos's 2022 production guidance stands at 8.5 million-9 million oz Ag, 49 million-54 million lbs zinc, 36 million-40 million lbs lead, and 4,000-4,500oz gold.

Toronto Stock Exchange-listed Gatos' share price was quoted as C$4.44 on April 28, having risen 1% day on day. The company has a market capitalisation of C$307.08 million.