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Be the first with the news that moves the market- Yamana Gold Inc (TSX:YRI) is demobilising most of its workforce at the Cerro Moro mine in Argentina, until the March 31
- The Argentinian government announced strict travel and isolation measures yesterday to slow the rapid spread of COVID-19, forcing the company to act
- The Cerro Moro mine will reduce its underground staff but maintain some open-pit and processing operations
- The company does not believe this will significantly affect its 2020 production forecast
- Yamana Gold (YRI) is down 1.42 per cent, with shares trading for C$4.21 and market cap of $4.01 billion
Yamana Gold Inc (TSX:YRI) is demobilising most of its workforce at the Cerro Moro mine in Argentina, due to COVID-19 restrictions.
The Argentinian government announced the new measures yesterday evening in an effort to slow the rapid spread of COVID-19.
The measures include mandatory self-isolation of all persons and strict travel restrictions, until March 31.
As a result, underground operations at Cerro Moro will be heavily reduced. The mine will still operate from its open pit mine, while continuing to process previously stockpiled ore.
While many of Yamana’s employees can be sent home, a large number are not from the surrounding region and therefore cannot be safely transported. The company did not state its plan for the stranded employees.
Similar measures are being taken at the company’s other Argentinian mine, Agua Rica.
Despite the staff and operational reductions, Yamana Gold does not expect the previously announced 2020 production forecast to be significantly affected.
Furthermore, the company is also closely monitoring COVID-19 developments in Chile, Brazil and Canada, where Yamana has other mining or exploration operations.
However, operations in Chile, Brazil, and Canada remain largely unaffected thus far, in comparison to the strict measures impacting Argentina.
Yamana Gold assured the public that no employees have been diagnosed with the virus. In an effort to preserve this, management is screening all visitors upon entry and barring non-essential visitors.
The company is also ramping up cleaning and disinfecting protocols and implementing rigid social dissecting procedures.
Yamana Gold (YRI) is down 1.42 per cent, with shares trading for C$4.21 at 10:23am EST.
