Placer Confirms Las Cristinas Financing - Venezuela
March 24, 1999
Canadian mining house Placer Dome (NYSE, VSE: PDG) has confirmed it will
finance the entire construction of the Las Cristinas gold-copper mine in
Venezuela's southern Bolivar State, with a budget of US$575mn, Placer
Dome Latin America's external affairs vice-president Felipe Ruiz told
BNA.
The US$575mn figure accounted for the entire financing of the mine, not
just Placer's 70% share of the project, as previously reported.
Placer's partner, Venezuela's state holding company CVG will control the
remaining 30% on behalf of the government. The CVG will contribute a
US$41mn energy transmission line to the Las Cristinas site, through
local energy company Edelca.
Las Cristinas has estimated reserves of 11.7Moz of gold and 979Mlb of
copper. Open pit mining methods will produce around 530,000oz of gold
per year, according to Tim Baker, the project's operations manager,
adding that the two-year construction program will start as soon as the
Venezuelan government gives its formal approval.
Source: BNA
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