A fresh incident has been registered at Barrick Gold’s (TSX, NYSE:ABX) Veladero mine in the San Juan province of Argentina in what is the third issue affecting the operation in less than 18 months.
According to Osvaldo Lima, the provincial government spokesman, a pipe carrying a “rich mixture” of gold and rocks came lose on Tuesday night, local paper La Nacion reports (in Spanish), without offering further details.
Veladero resumed operations in October after having been suspended for almost a month following a spill containing cyanide, the second such spill in just over a year.
In early 2016, the Toronto-based miner was ordered to pay a 145.7m pesos fine (about $9.8m at the time) over a cyanide spill at the same mine, which happened almost exactly a year before.
When Barrick announced the fine in March, it said it had undertaken a plan to strengthen controls and safeguards at the mine, including increased water monitoring.
Veladero, one of the largest gold mines in Argentina, had proven and probable mineral reserves as of December 31, 2015 of 7.5 million ounces of gold. Gold production in 2016 was expected to be 630,000-690,000 ounces at all-in sustaining costs of $830-$900 per ounce according to the company's website.
More to come…
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