Mining’s old guard needs strong medicine
A new report details subpar investor returns in the mining industry over the last decade, particularly big cap diversified companies which have not adapted to new realities.
Lundin Gold (TSX: LUG) announced that the blockade which had been impeding transport of supplies and concentrate from the Fruta del Norte gold mine in Ecuador has been lifted.
Following the collapse of a public bridge over the Zamora River in Los Encuentros two weeks ago, local community members erected the blockade on the public road leading to the mine.
Throughout the 15-day blockade, operations continued. Lundin is maintaining its 2020 guidance.
The company announced that it will be footing the $2.5 million bill for the bridge replacement.
Fruta del Norte is Ecuador’s largest gold-silver mine. Lundin officially opened it in November 2019, and the first doré bar was produced on November 16. Production kicked off just two days later.
The operation is expected to produce 4.6 million ounces of gold over a 15-year mine life.
Comments
Jim Jones
Lundin and Lundin Gold are two separate, publicly listed companies. LUG has a market cap much smaller than LUN. The author confuses the two here in the last line.