All bets are off when it comes to the Rainy River open-pit gold mine reaching its 2020 production goals.
Due to the global pandemic, New Gold is withdrawing its 2020 operational guidance for their Rainy River Mine, northwest of Fort Frances, and the New Afton in British Columbia “until any impact is better understood.”
The Toronto-headquartered gold miner posted first quarter operational results for both operations on April 15.
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Gold production at Rainy River amounted to 50,381 ounces to go with 61,265 ounces of silver for a quarter that included a 14-day precautionary shutdown of operations announced on March 20.
Operations resumed April 3 and will be ramping up in the coming weeks.
Currently, the operation is using their local workforce as the company assesses various scenarios to safely reintroduce the non-local workforce.
The mine is averaging 100,000 tonnes per day, about 70 per cent of the productivity achieved prior to the shutdown. The mill is running at full capacity, processing ore from the pit and the medium-grade stockpile.
The results at Rainy River were “very encouraging” to company CEO Renaud Adams considering the two-week suspension and the COVID-19 safety protocols in place.
At quarter’s end, the New Gold finalized a $300-million financing deal with the Ontario Teachers’ Pension Plan to finance its New Afton Mine in British Columbia.
“Throughout this challenging time, New Gold will continue to prioritize the safety and well-being of our employees and local communities and we will continue to work with our Indigenous and community leaders to implement and coordinate actions to reduce the risk of the spread of COVID-19,” said Renaud.
