Underground exploitation start-up at Gualcamayo and progresses at Cerro Moro

The Canadian mining company plans to start underground production in July at the gold mine in San Juan. Meanwhile, it will conduct an intensive feasibility study at Cerro Moro.

Yamana Gold extracted almost 20% of its gold production worldwide from deposits in Argentina. The mining company, with its headquarters in Vancouver, western Canada, extracted 1.2 million ounces (oz) of gold in 2012 globally. Gualcamayo mine, located in San Juan, on the outskirts of Jáchal, contributed with 147,308 oz of gold, while Alumbrera mine –12.5% Yamana owned– contributed with 46,009 oz of the precious metal, according to the company’s official data.

The company is dealing with final details so as to start up underground exploitation at Gualcamayo –which production began in 2009– by the middle of the year. This was stated by Hernán Vera in this interview with El Inversor Energético & Minero. San Juan’s mine represents, in size, the second Yamana project on the planet, after El Peñón, located in northern Chile.

“We face the immense challenge of starting up production at our Gualcamayo underground mine, with all its implications, from staff enlargement to the increase of minerals that we shall process every day,” said the manager.

What are Yamana main objectives for this year?, we asked the executive.

Yamana has great expectations for 2013 in Argentina. On the one hand, we face the immense challenge of starting up production at our Gualcamayo underground mine, with all its implications, from staff enlargement to the increase of minerals that we shall process every day. And on the other hand, we will also be focused on the study of our sulfur reserves and we will carry on with technical studies in order to add them soon to our production. As for Cerro Moro, we will develop an intensive drilling campaign while we move forward with the feasibility study of the project, which hopefully will be finished by the end of this year.

How is the work at Gualcamayo underground mine making progress?

Work is progressing well. We aim at starting production during the second half of this year.

What are San Juan key attributes attracting mining investment?

Mining in San Juan, and in Argentina, is progressing well and I think that Ofemi (Federal Organization of Mining States) will play a key role in creating clearer and more consistent policies across provinces. Although this type of mining is still very young in our country, I think it has become an economic mainstay for several provinces, including San Juan, and also for the nation. As long as new projects and operating mines continue emerging, this industry will move forward to consolidation.

What actions should be taken to ensure the activity development in the mid- and long-term?

We have to keep on working. Ofemi’s work can ensure the realization of Argentine huge geological potential with great benefits for the country. I think that provinces with a developed mining industry serve as clear evidence of the positive evolution and economic impact that mining brings and this is the sector’s best advertising.