By Sean Brodrick
Uncommon Wisdom
Last week, Atna Resources announced that low gold prices have “temporarily downsized” the ramp-up of underground mining operations at its Pinson Mine near Winnemucca, Nevada. Atna’s stock was punished mercilessly.
Pinson was expected to yield 50,000 to 57,000 gold ounces this year. Atna had hoped to increase that production to as much as 200,000 gold ounces annually. Nope. Not gonna happen, at least not at these prices.
But the Pinson Mine is small potatoes, right?
On Monday, Mexico’s Minera Frisco, owned by billionaire Carlos Slim said production at its gold and silver mine El Coronel was suspended due to “illegal” worker action. El Coronel produced 42,211 ounces of gold and 4,234 ounces of silver in the first quarter of 2013, and was planning on ramping up production. Ramp-up? Nope, not gonna happen now.
But that’s still small potatoes, right?