Barrick Gold (TSX: ABX; NYSE: GOLD), the world’s second-largest producer of the valuable steel, warns that mining at its Pueblo Viejo operation within the Dominican Republic might end this yr if a brand new tailings storage facility (TSF) doesn’t get authorized.
Mining at Pueblo Viejo, a 60-40 three way partnership with Newmont (TSX: NGT; NYSE: NEM), relies on the potential for constructing a brand new tailings storage facility (TSF).
The mine waste depository is a part of a deliberate US$1.3 billion growth. It’s going to additionally allow the mining of decrease grades within the current deposit, supporting annual output of greater than 800,000 ounces of gold.
“The extension of its life implies that it could proceed to be a serious creator of worth for the Dominican Republic and its folks far into the long run,” Mark Bristow, Barrick’s president and CEO, stated at a local media briefing.
He famous that the mine has paid US$522 million in direct and oblique taxes up to now this yr, which brings its whole tax funds because it went into business manufacturing in 2013 to only below US$3 billion.
The choice to proceed with mission, below study since May 2019, was made in March final yr. The corporate has been working with close by communities since then, which doesn’t imply it has not confronted opposition.
In Might, 87 environmental and help teams signed a letter opposing the growth and development of the associated tailings dam, citing dangers posed by elevated mine waste and threats to native communities’ rights.
The corporate agreed in August to impartial environmental research, led by the federal government of Dominican Republic, for the growth.
Pueblo Viejo is forecast to provide between 470,000 and 510,000 ounces of gold this yr at an all-in sustaining price of US$760-$810 per ounce.