New Gold shuts Rainy River mill to manage water buildup
Intermediate gold producer New Gold has shut down the mill at its Rainy River mine to manage excess water that has built up as a result of a rapid spring melt and large snow pack in northern Ontario, but the temporary shutdown is not expected to impact on its production guidance.
The mill was shut down on April 24 to expedite the pumping of about 700 000 m3 of excess water from the tailings management area to the water management pond and should be fully operational again within five days, New Gold said on Wednesday.
Mining and crushing operations had not been impacted and ore was being stockpiled for processing when the mill restarted.
The company also took advantage of the shutdown by accelerating maintenance work.
“Management is addressing the issue of excess water appropriately and in a manner that is consistent with our commitment to protecting our environment. We remain focused on executing our current mine plan and are confident that the mill will resume normal operations soon,” stated CEO Renaud Adams.
Rainy River is forecast to produce between 250 000 oz and 275 000 gold-equivalent ounces (GEO) this year. In the first quarter, the mine delivered 62 278 GEO – a significant improvement on the year-earlier performance of 40 016 GEO.
New Gold also owns the New Afton mine, in Canada, and the Cerro San Pedro mine in Mexico, as well as the Blackwater project in Canada.
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