New Gold resumes mining at New Afton as tailings deemed safe

Canadian miner New Gold (TSX, NYSE: NGD) resumed on Friday underground mining at its New Afton gold-copper operation in Kamloops, British Columbia, following an inspection certifying the structural integrity of its tailings.

The Toronto-based company said this week that experts had observed geotechnical variances at the mine’s tailings storage facility during an inspection. As a result, New Gold  suspended operations until the dam safety could be guaranteed.

The company said its engineer completed a thorough review on August 10 and confirmed the New Afton tailings storage facility’s status was normal.

Milling operations were unaffected during the suspension, and in-pit tailings deposition continued as planned.

New Gold said New Afton remained well positioned to meet all annual production and cost guidance metrics set out earlier in the year.