JOHANNESBURG (miningweekly.com) – With operations at Randgold Resources’ Tongon mine, in Côte d'lvoire, now back at full capacity after a series of work stoppages, the company is making a “determined effort” to recover most of the lost output.
The gold miner on Monday warned that the mine’s production guidance of 290 000 oz for this year has been impacted on as a result of the work stoppages, which started with the employees of the mining contractor and then spread to other operations.
To mitigate the downtime effect and lost plant throughout, Tongon processed ore from the run-of-mine and scats stockpiles during the stoppages and also used the opportunity to upgrade parts of the plant to achieve a higher and more consistent throughput going forward.
The mine’s management had been supported in resolving the situation by the highest level of government, as well as Parliamentary members and local authorities and, along with the workers and union leadership, these parties had also agreed on a constructive process to workshop solutions and prevent similar issues in future, Randgold CEO Mark Bristow said.
He further noted that it is encouraging that government fully acknowledges the importance of Randgold and Tongon to the Ivorian economy, and the fact that Tongon represents the “single largest investment in the country’s mining industry.”
“The history of Tongon has reflected the occasionally turbulent sociopolitical nature of its environment and a misunderstanding of the mining business which is a new activity in the country, but management has dealt effectively with the challenges that have come their way.”
The mine is managed by a majority Ivorian team and, of its 1 700 employees, only 40 are expatriates.
“Their record speaks for itself: since it was commissioned in 2010, Tongon has produced 2.7-million ounces of gold and, in 2017, it posted record results despite the slow start to the year,” Bristow said.
He further noted that Tongon has three-and-a-half years of life left, as things stand, but that the gold miner is actively looking for means to extend this.
A number of near-mine opportunities are currently being evaluated by the exploration team.
“We’re also exploring for new gold discoveries elsewhere in our large permit portfolio in Côte d’Ivoire, where we intend to retain a long-term presence.”
However, at the same time, Tongon is planning for life after its eventual closure by developing an economically viable agribusiness to provide a replacement income for former workers and the surrounding communities in line with its sustainable development policy.