Goldcorp says no production hit as Mexico mine blockade is lifted

(FinancialPress) — Goldcorp‘s (NYSE: GG) Peñasquito gold mine (Mexico) blockade was lifted without it harming output overall, the Vancouver-based company stated on Wednesday.

The blockade had risen because of complaints from local communities regarding water, on Thursday of last week. The main access to the open pit mine had been closed down by protestors.

During 2016, Peñasquito, a fully self-owned operation, produced a total of 465,000 ounces of gold. When taking into account silver, lead and zinc byproducts, their output surpassed 1 million gold-equivalent ounces.

Among Goldcorp‘s recent announcements, worth highlighting are their $420m Pyrite Leach Project (PLP) at the mine. Its development has reached 40%, and it will be commissioned 3 months ahead of schedule by Q4 2018. The project is “ahead of schedule and under budget“, as per a press release from the company.

PLP is expected to recover approximately 40% of the gold and 48% of the silver currently reporting to the tailings, and is expected to add production of approximately 1 million ounces of gold and 44 million ounces of silver over the current life of the mine.

Goldcorp, ranked #4 worldwide among gold producers with an output of slightly less than 2.9 million ounces in 2016, will experience a drop to around 2.5 million ounces in 2017. Their per-ounce all-in cost is currently $825.

By the end of the decade, the polymetallic producer aims to grow output and reserves by 20%, while decreasing all-in sustaining costs per ounce by also 20%

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