Barrick Gold is set to take up expansion of the Pueblo Viejo gold mine in the Sánchez Ramírez province in Dominican Republic with an initial investment commitment of over $1bn (£789.38m).
The Pueblo Viejo gold mine, which is located nearly 100km northwest of Dominican Republic’s capital Santo Doming, is jointly owned by Barrick Gold (60%) and Newmont Goldcorp (40%).
The mining giant revealed that the investment will be used for expanding the existing processing plant and tailings capacity of the gold mine. The expansion project at the Pueblo Viejo gold mine will potentially extend the life of the mine into the 2030s and beyond.
Barrick Gold is looking to wrap up a feasibility study for the expansion project next year.
Barrick Gold president and CEO Mark Bristow during a local media briefing said that the investment for the expansion project is further evidence of the long-term commitment of the joint venture partners towards the social and economic development of the Dominican Republic.
Bristow said: “We look forward to continue making a significant and growing contribution to our communities and other stakeholders and to unlocking the enormous value of its mineral potential while addressing the historical third-party environmental issues.”
Contribution of Pueblo Viejo gold mine to Dominican Republic
The joint venture partners of the Pueblo Viejo gold mine have already injected $5.2bn (£4.1bn) into the project, which is claimed to represent nearly 20% of the total foreign direct investment made in the Dominican Republic during the last 10 years.
Pueblo Viejo gold mine production details
Development of the Pueblo Viejo gold mine began in 2009 and the first ore was produced from it in 2012. Barrick Gold’s share in the production from the gold mine in 2019 is estimated to be 550,000-600,000ounces.
In 2018, the company’s share of production from the Pueblo Viejo gold mine was 581,000ounces.
Earlier this year, Barrick Gold closed its $18.3bn (£14.45bn) merger with Randgold Resources with the combined company now owning five of the world’s top ten Tier One Gold Assets by total cash cost. Included in these are Pueblo Viejo, Cortez, Goldstrike, Kibali, and Loulo-Gounkoto.
