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.
The world’s largest gold miner, Newmont (NYSE: NEM) (TSX: NGT), has announced another milestone at its Musselwhite mine in Ontario, Canada, where it has poured the 8,000th gold doré bar since the operation started commercial production in 1997.
The mine, one of the world’s largest producers of the metal in Canada and globally, has churned out more than five-million ounces of gold in the last 25 years.
General Manager Mark Kiessling, who assumed his role shortly before Musselwhite celebrated its silver jubilee in 2022, said the hard work was paying off.
“Now, more than a quarter century into operation, there remains great exploration potential at Musselwhite,” Kiessling said. “You can see the improvement in ore tons and the improvement in gold ounces mined. And we expect that trend to continue.”
The past few years have been difficult for Musselwhite. After a conveyor fire in 2019 halted production for nearly a year, the mine experienced further intermittent shutdowns in 2020 and 2021 because of the global covid-19 pandemic.
Newmont says the setbacks did not slow the operation down as mine personnel used the pauses in production to better understand how to operate more efficiently and position the operation for long-term success.
Musselwhite was one of the first mines in Canada to enter into a comprehensive agreement with First Nations communities. It currently has formal agreements with North Caribou Lake First Nation, Cat Lake First Nation, Windigo First Nation Council, Wunnumin Lake First Nation, Kingfisher Lake First Nation, Shibogama First Nation Council and the Mishkeegogamang First Nation.
Last year, Musselwhite produced 173,000 ounces of gold, with just under 2 million ounces in reserve at year-end.
