Canada鈥檚 Barrick Gold (TSX: ABX)(NYSE: GOLD), the world鈥檚 second largest producer of the precious metal,聽聽that聽mining at聽its Pueblo Viejo operation聽in the Dominican Republic聽could finish this year and production in 2030 if聽a new tailings storage facility (TSF) doesn鈥檛 get approved.聽
The mine waste depository is part of a planned $1.3 billion expansion expected to extend the mine life beyond 2040. It will also enable the mining of lower grades in the existing deposit, supporting annual output of more than 800,000 ounces of gold.
Speaking at a , Barrick president and chief executive Mark Bristow noted that so far this year the mine had paid $522 million in direct and indirect taxes, which brings its total tax payments聽since it went into commercial production in 2013 to just under $3 billion.聽
鈥淭he extension of its life means that it would continue to be a major creator of value for the Dominican Republic and its people far into the future,鈥� Bristow added.聽
The decision to proceed with聽project,聽under聽study since May 2019,聽was made in March last year.聽The company has been working with nearby communities since then, which doesn鈥檛 mean it has not faced opposition.聽
In May,聽87 environmental and aid groups聽signed a letter聽opposing the expansion and construction of the related tailings dam,聽citing risks posed by increased mine waste and threats to local communities鈥� rights.聽
The company聽agreed in August聽to independent environmental studies,聽led by the government of Dominican Republic,聽for the expansion.聽
Pueblo Viejo, a 60-40 joint venture between Barrick and Newmont (NYSE: NEM)(TSX: NGT),聽is forecast to produce between 470,000 and 510,000 ounces聽of gold this year at an all-in sustaining cost of $760-$810 per ounce.聽