Canada’s Fortuna Silver Mines provided a progress update on its expansion project for the leaching platform at its Lindero gold mine in Argentina, focusing on optimizing processing to reverse an output decline.
As of the end of March, the US$41mn project in Salta province had progressed by 35%, after commencing construction in January with the target of initiating processing by the end of 2024, as stated by the mining company in a recent statement.
Consulting firm Knight Piésold is handling procurement and construction management for the project, with staff on-site since the 3rd quarter of 2023. Ninety-two percent of critical purchases have already been made, and mechanical work is set to begin this quarter, Fortuna added.
In the first quarter, Lindero saw an 8% year-on-year decrease in production to 23,262oz, with a 21% drop compared to the previous quarter. This decline was anticipated due to lower ore grades, according to the company.
Fortuna has revised Lindero’s production guidance for this year to 93,000-105,000oz, down from 96,000-106,000oz, following the 2023 output of 101,238oz.
Last year’s production included 94,905oz in doré bars, 6,015oz of gold contained in fine carbon, and 319oz in copper concentrate, marking a 15% decrease from 2022 figures. The focus now is on production recovery through leach pad improvements and new discoveries from ongoing exploration campaigns in the 3,500ha Lindero area.
SOLAR PLANT
Local subsidiary Mansfield Minera, the operator of Lindero, is set to invest US$60mn in Salta. This includes the construction of a US$19mn photovoltaic solar plant, to be completed by 2025 in Tolar Grande. The plant will have a 15MW capacity and is expected to cover almost 40% of Lindero’s energy requirements.
#### Insights:
– Implementing technological advancements in mining operations is crucial for optimizing production and combating output declines.
– Exploration campaigns play a key role in driving new discoveries and enhancing resource utilization in mining projects.
– Investing in sustainable energy sources, such as solar power, not only reduces operational costs but also promotes environmental responsibility in mining operations.
