Barrick Gold (TSX: ABX; NYSE: GOLD) is near reaching an settlement with the federal government of the Dominican Republic on the place to construct a brand new tailings storage facility (TSF) for its US$1.3 billion Pueblo Viejo gold mine.
The world’s second largest gold producer had warned last year that manufacturing on the mine must finish in 2030 with out a new mining waste depository.
Constructing a brand new dam is a part of the deliberate enlargement for Pueblo Viejo, which can lengthen its productive life past 2040.
It can additionally allow the mining of decrease grades within the current deposit, supporting annual output of greater than 800,000 ounces of gold.
The decision to proceed with the expansion was made in March 2020. Barrick has been working with close by communities since then, which doesn’t imply it has not confronted opposition.
In Might final yr, 87 environmental and support teams signed a letter difficult each the mine enlargement and the development of the associated tailings dam. They claimed it could pose dangers to the atmosphere and risk locals’ rights.
In an try and win neighborhood backing, Barrick agreed in August to an unbiased environmental evaluation of the challenge, led by the federal government of Dominican Republic.
“In latest days we now have been … discussing already the ultimate elements [of the assessment] to announce to the nation, at any second, a definitive answer regarding the particular location of the tailings dam and its situations,” Vitality and Mines minister Antonio Almonte instructed local daily Diario Libre.
Delivering 2021 results, Barrick’s chief govt officer Mark Bristow stated that the choice and allowing course of for the brand new tailings storage facility was underway.
“As soon as accomplished, and that is essential, the challenge will ship a brilliant mine able to producing greater than 800,000 ounces of gold per yr, up and past – as much as and past 2040. And actually, most of that interval, it’s above 900,000 ounces a yr, and we now have two years the place we go over 1 million ounces,” Bristow stated within the earnings name.
Pueblo Viejo is a 60-40 three way partnership between Barrick and Newmont (TSX: NGT; NYSE: NEM).
The Canadian miner expects to provide between 400,000 and 440,000 ounces of gold from its portion of the mine this yr.
