North American Palladium (PDL-T, PAL-X) has resumed normal operations at its Lac des Iles palladium mine, north of Thunder Bay, Ont., following a tailings dam leak on Feb. 4.
The leak, since plugged, caused extensive flooding in the milling and primary crusher areas. Hardest hit was the crusher’s electrical switchgear, which suffered “significant damage.” Milling resumed about a week after the leak, with feed sourced from stockpiled ore, supplemented with crushed ore from portable crushers. Repairs to the switchgear took a little longer, but the power was reconnected on Feb. 15.
The mine’s open-pit and underground mining operations not affected.
“I am pleased to report that operations are back in full swing here at Lac des Iles and that there was no environmental impact as a result of the leak,” said NAP chief executive Jim Excell in a prepared statement. “Again, our team here has done an excellent job in managing this situation, while ensuring that the repair process was completed as quickly and seamlessly as possible.”
Crusher problems during 2005 saw NAP’s production slide by 43% from a year earlier to 177,167 oz. The average recovery rate rang in at 69.6%. Production is expected to increase in 2006 as the mine’s underground operations kick in during the first quarter.
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