TORONTO (miningweekly.com) – TSX-listed Cerro Grande Mining on Thursday announced that it had been given the green light to restart production at its Pimenton copper/gold mine, in Chile, after the local municipality shut down operations last month owing to an outstanding permit.
The Chile-focused miner said the municipality of San Esteban, in which the Pimenton mine and installations were located, on May 9 ordered the mine shut down owing to an outstanding municipal permit for the plant and camp buildings.
Cerro Grande subsequently filed the approved structural calculations with the municipality, after which it waited for the municipality’s chief building inspector to conduct a site inspection.
The run-down mine was currently facing declining output and rising costs.
In the three months ended March 31, the mine produced 2 642 oz of gold at an average cost of $777/oz, net of by-product credits.
The company was conducting new exploration activities on its porphyry copper deposit located within the Pimenton area, which was previously explored by Rio Tinto Mining and Exploration.