Operations at the Fruta del Norte project, in Ecuador, are returning to normal after President Lenin Moreno agreed to scrap a decree to eliminate fuel subsidies and indigenous groups called an end to strikes after almost two weeks of protests.
With roadblocks having been lifted, the movement of key supplies and personnel to and from the project has resumed, TSX-listed Lundin Gold reported on Monday evening.
The company ceased mining, earthworks and plant commissioning activities at the weekend, as road blockades cut supplies to the mine site. At the time, the junior warned that it might not reach its goal for first gold production this quarter.
“Now that the project is on the national power grid, the company expects that commissioning activities, which had been cut back, will return to the normal plan within the next few days,” it said in a media statement.
The $692-million Fruta del Norte project will be Ecuador’s biggest gold mine, producing an average of 310 000 oz/y at a projected all-in sustaining cost of $583/oz.