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Alamos Gold temporarily suspends mining at Mulatos; guidance suspended

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(Kitco News) - Alamos Gold Inc. (TSX: AGI; NYSE: AGI) is suspending operations at its Mulatos mine in Mexico until April 30 and extending the suspension at the Island Gold in Ontario for an additional two weeks, the company said Thursday.

The halt at Mulatos follows a mandate by the Mexican government to halt all non-essential business activity until the end of the month due to the global COVID-19 crisis, Alamos said. Mining will be scaled down, but some employees will remain to continue processing and other critical activities such as water management, environmental protection and security.

Alamos said the company is extending the suspension at Island Gold by another 14 days to April 22. As a result of the stoppages and potential for further interruptions, the company said it is withdrawing its 2020 production, cost and capital guidance.

“To date, we have not had any confirmed cases of COVID-19 among any of our employees or contractors,” said John A. McCluskey, president and chief executive officer. “We will continue to monitor the situation and take further action to prevent the potential spread of the virus based on the best available information and the recommendations of relevant government authorities.”

Meanwhile, operations at the Young-Davidson mine in Ontario have not been impacted, with the lower mine expansion on track to be completed in June 2020, the company said.

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