GOLD: Kinross announces suspension at Maricunga mine

CHILE – Toronto-based Kinross Gold announced last week that it will suspend the Maricunga gold mine in the Atacama region in the fourth quarter of the year. News of the suspension comes after a court determined that sanction issued in June 2016 by the Chilean environmental authority (SMA) is enforceable. The sanction, among other things, substantially reduced water pumping at Maricunga, forcing the company to cease mining and crushing activities in July. As a result of the suspension, about 300 jobs at the mine will be lost. Kinross says it will continue to oppose what it calls “the SMA’s unprecedented actions” and has various appeals pending with Chile’s environmental tribunal. At the end of 2015, the Maricunga mine had 1.0 million contained oz of gold in proven and probable reserves, 4.28 million oz in measured and inferred resources, and 1.0 million oz in inferred resources. The company has a gallery of pictures from Maricunga posted at www.Kinross.com.