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Blockade at Fruta del Norte lifted

Fruta del Norte gold-silver project. Photo by Ecuador’s Mining Ministry.

Lundin Gold (TSX: LUG) announced that the blockade which had been impeding transport of supplies and concentrate from the Fruta del Norte gold mine in Ecuador has been lifted.

Following the collapse of a public bridge over the Zamora River in Los Encuentros two weeks ago, local community members erected the blockade on the public road leading to the mine.

Throughout the 15-day blockade, operations continued. Lundin is maintaining its 2020 guidance.

The collapsed bridge near the town of Los Encuentros. (Image courtesy of the Zamora Chinchipe government).

The company announced that it will be footing the $2.5 million bill for the bridge replacement.

Fruta del Norte is Ecuador’s largest gold-silver mine. Lundin officially opened it in November 2019, and the first doré bar was produced on November 16. Production kicked off just two days later.

The operation is expected to produce 4.6 million ounces of gold over a 15-year mine life.