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MEI Online: Plant Operation News: North America: February 26th 2007


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:: Barrick Pours Gold at Ruby Hill

Barrick Gold Corporation has announced the pouring of gold at its Ruby Hill project following a successful restart of the operation near Eureka, in central Nevada. Ruby Hill was previously an operating mine until 2002.

“It’s great to see new life at Ruby Hill," Greg Lang, President of Barrick’s North America Region, said during a visit to the site. “Once again, a dedicated group of Barrick employees has brought a project into production under budget and ahead of schedule. Best of all, our people brought the mine back without any serious safety incidents." Capital investment is expected to below the construction estimate of approximately $75 million, including almost $30 million in new mining equipment and processing upgrades.

Ruby Hill General Manager Randy Buffington joined Lang in congratulating mine employees. “Eureka has seen many ups and downs over the years," Buffington said. “Thanks to a lot of hard work by our people, we’ve brought steady jobs and other economic benefits to this community while maintaining an excellent safety record. We really appreciate the support of our neighbors over the past several years."

The West Archimedes deposit at Ruby Hill was mined from 1997-2002. As with many other small mines, Ruby Hill ceased operations as a weak metals market impacted profitability and shelved plans for the current expansion. The mine’s future brightened as gold prices recovered over the past several years. Since the decision to restart the operation in 2004, Barrick has hired dozens of new employees, spurring commercial activity in and around Eureka. Today, the mine employs about 110 people.

The East Archimedes deposit at Ruby Hill had approximately 1,080,000 million ounces of proven and probable gold reserves at year end 2006. Ruby Hill is an open pit mine with primarily oxide material. Ore processing includes on-site gold recovery by zero-discharge heap leach and carbon column facilities. The mine is expected to produce about 120,000 ounces at cash costs of $240 to $250 per ounce for 2007.




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