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Newmont's Peñasquito mine to be back in full production in 10 days

Kitco News

Image courtsey of Newmont Goldcorp

(Kitco News) -Production will soon be back into full swing at Newmont Goldcorp’s (NYSE: NEM) Peñasquito Mine, the company announced Tuesday night.

The company said, in a press release, that it is embarking on a 10-day start up process to get the mine back to full production after an illegal blockade was lifted earlier this month.

“We appreciate the government’s efforts to uphold the law by assuring ongoing access to and from Peñasquito while continuing to sponsor the dialogue process, should that continue to be needed,” said Tom Palmer, President and Chief Executive Officer. “Our focus is on ensuring a safe startup of operations so our workforce can return to their jobs in an orderly manner.”

The mine had been shut down since Sept. 14 when the blockade first started.

“The illegal blockade impacted Peñasquito’s third quarter production by approximately 11,000 gold ounces, 1.7 million silver ounces, 13.7 million pounds of lead and 22.8 million pounds of zinc, and is expected to impact the Company’s full-year results for the operation. Through September 30, this represents an approximate production shortfall of 11,000 gold ounces and 51,000 gold equivalent ounces from co-products,” the company said in a previous press release.

The open-pit mine in Mexico produced 272,000 ounces of gold last year

Peñasquito directly employs more than 6,500 people while supporting another 20,000 indirect jobs in the region. Since 2005, the Company has invested approximately US$5 billion in Peñasquito.

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.

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