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UPDATE 1-Goldcorp halts Pamour mining as gold prices slide
September 15, 2008 / 4:08 PM / 9 years ago

UPDATE 1-Goldcorp halts Pamour mining as gold prices slide

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TORONTO, Sept 15 (Reuters) - Goldcorp (G.TO) has suspended mining at its Pamour open pit in Ontario due to falling gold prices, a company spokesman said on Monday.

Production statistics were not immediately available for Pamour, but spokesman Jeff Wilhoit said the mine was “not material” to Goldcorp’s overall results.

Pamour is one of three mines that make up the company’s Porcupine operation at Timmins, Ontario. Porcupine produced about 300,000 ounces in 2007.

“It’s not much in the grand scheme of things, but it’s kind of consistent with a flexible approach that we use in being able to skinny up operations to reflect prevailing market conditions,” Wilhoit said.

Gold has tumbled 20 percent in the past month. The spot price XAU= was around $778 an ounce on Monday.

Pamour has also struggled with soaring costs over the past few years and ore grades that have fallen short of projections.

Wilhoit said Goldcorp would revisit the possibility of reopening the mine at a future date, adding he did not anticipate other closures.

“I wouldn’t expect any further kind of slowdown anywhere else, but that’s at today’s prices,” he said.

Goldcorp shares were down 62 Canadian cents, or 2 percent, at C$30.74 on the Toronto Stock Exchange.

$1=$1.07 Canadian Reporting by Cameron French; editing by Rob Wilson

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