Gold, News

Bloomberg BNN is reporting that Newmont Goldcorp has suspended operations at the Penasquito Mine, due to a dispute with local truckers. Penasquito is the 5th largest silver mine in the world and the largest gold mine in Mexico.

This is the second time in recent years where a dispute has led to a disruption of mining operations at the mine. In October of 2017, a week-long protest led by truckers who were upset with a loss of contracts at the mine. Operations resumed after Goldcorp promised to renew contracts with carriers, establish 2 health centres, improve infrastructure at a nearby town, and commit to a study of air and water conditions, to assess alleged contamination and potential compensation for affected communities.

In 2017, Goldcorp reported that the Penasquito Polymetallic Mine had Proven and Probable Reserves of 8.95 million ounces Gold (Au) and Silver of 545.6 (Ag). The mine produced 272,000 oz. Au last year, and 476,000 in 2017. The mine also has substantial zinc and lead reserves.

In March this year, Goldcorp’s Cerra Negro mine in Argentina also suspended operations for a period due to a labour dispute with the union.

Newmont, which acquired Goldcorp in April this year, to form Newmont Goldcorp (NYSE:NEM) closed at $30.64,  down -0.81.

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