Gold output at Lundin's Fruta del Norte edges higher

Canada’s Lundin Gold produced 133,062oz of the precious metal at its Fruta del Norte mine in Ecuador in the second quarter, up around 3% compared to 129,731oz in the same period 2023.

“Another strong quarter puts us firmly on track to meet our 2024 production guidance of 450,000 to 500,000oz,” CEO Ron Hochstein said in a statement.

The underground mine's improved performance, the company said, was due to higher grades and recoveries.

The mill processed 424,899t of ore in Q2 with an average grade of 11g/t and recoveries were 89%, the statement added.

This year, the company plans to drill 56,000m with an investment of US$42mn in a campaign within 10km of the mine.

Last December, Hochstein told BNamericas that the company seeks to continue increasing the reserves of Fruta del Norte and in the medium term to discover a new deposit with similar characteristics.

Fruta del Norte and the Mirador copper operation are the only large-scale mines in production in Ecuador but mining is the fourth largest export sector behind shrimp, oil and bananas.

Last year, Ecuador saw mining exports of more than US$3.2bn.

A series of mining projects are due to begin production in the next six years, including Curipamba, La Plata, Cascabel and Loma Larga.