Lundin Gold bets $100M to extend Ecuador's Fruta del Norte gold mine lifespan
Lundin Gold is investing heavily to extend the life of its Fruta del Norte mine in Ecuador. The company plans to spend $100 million this year on exploration, aiming to boost gold reserves and uncover new deposits. Officials describe the site as one of the world's most significant gold operations.
Fruta del Norte began production in 2019 with an expected 12-year lifespan. Last year, it yielded nearly 500,000 ounces of gold, with exports valued at around $1.8 billion. The company now targets annual gold output of 475,000 to 525,000 ounces through 2028.
The new campaign will add roughly 133,000 metres of drilling over three years, starting in 2025. Lundin Gold currently holds 5.54 million ounces in gold reserves but has no other mines or exploration projects worldwide. Director Juan Jose Herrera called Fruta del Norte a cornerstone of the company's future.
The $100 million exploration push aims to secure the mine's long-term operation. If successful, it could extend gold production well beyond the original timeline. Lundin Gold's entire business now hinges on the results of this campaign.
