Argentina's Veladero gold mine exceeds guidance in 2024

Gold production at the Veladero mine in Argentina’s San Juan province exceeded 500,000oz last year, above the guidance provided by 50%-owner Barrick, due to higher recoveries and operational improvements.

Barrick's attributable volume was 252,000oz, the highest in the last five years, the Toronto-based firm said in its 2024 report.

Veladero is operated by Minera Andina del Sol, a 50:50 joint venture between Barrick and China's Shandong Gold.

The increase was largely explained by a US$159mn project that expanded the operation leaching area, corresponding to phase 7B, where works were completed in December, Barrick added in its document with Q4 data.

However, this year’s attributable production is expected to fall to 190,000-220,000oz. 

During this quarter, Barrick will begin construction of phase 8, which will be divided into three stages (8A, 8B and 8C), involving capital of around US$250-US$270mn.

The works will be carried out by construction firm Milicic and are due to be completed early 2026. The mine site is at 4,000m to 4,850m above sea level and faces extreme weather conditions, especially in winter.

Barrick will also perform tests during this quarter to determine the quality and quantity of new minerals that were identified through exploration campaigns in a nearby section of Veladero.

The company aims to reduce costs, ensure production of 500,000oz/y and combat low ore grades.