Next major gold mine is under construction
Project Overview
The Fruta del Norte gold deposit was discovered by Aurelian Resources in 2006. Lundin Gold purchased the asset in 2014 for $240 million. Since acquiring the asset, Lundin Gold has signed all major agreements with the Ecuadorian Government to start development, completed a feasibility study and a project update.
Fruta del Norte is now one of the next major gold mines currently being developed. It is a large, high-grade gold deposit with probable reserves of 5.02 million ounces of gold grading at 8.74 grams per tonne (please hyperlink to 2018 Annual Information Form – dating March 27, 2019).Construction began mid-2017 and first gold is expected in the fourth quarter of 2019.
Fruta del Norte Facts
| Location | Southeast Ecuador |
| Ownership | 100% |
| Mine Type | Underground |
| Life of Mine | ~15 years |
| CAPEX | $692 million |
| Net Present Value (5%) | 17.5% |
| Future Production | 3,500 tonnes per day, average 310,000 ounces gold per year |
| AISC | US$583 per ounce |
| Infrastructure | A 21 km road and 42 km powerline are being built to connect Fruta del Norte to Ecuador’s national highway system and power grid |
