Two contractors dead at Lithium Americas project in Argentina

Lithium Americas (TSX: LAC) (NYSE: LAC) says two contractors died at its Caucharí-Olaroz lithium project in Argentina on Sunday.

The deaths occurred in separate incidents that don’t appear to be related to the workplace, the Vancouver-based company said in a news release on Monday. An investigation has started, it said.

Jonathan Evans, chief executive officer of Lithium Americas, said the company was “deeply saddened” by the incidents. “Our thoughts are with their families and friends and our team in Argentina at this difficult time,” Evans said.

The report follows a “critical incident” regarding a contractor at Newcrest Mining’s (ASX: NCM) Brucejack Mine about 300 km north of Prince Rupert, B.C., on Saturday.

Melbourne-based Newcrest has suspended operations at the mine for an investigation, it said. The contractor worked for Procon, but few other details of the incident, including the status of the person, were immediately available.

First production is expected this year at Lithium Americas’ US$741 million Caucharí-Olaroz project near Jujuy in northwestern Argentina. Phase One output is targeted at 40,000 tonnes of lithium carbonate annually using a brine evaporation method.

The site has proven reserves of 96,650 tonnes of lithium metal from 180 million cubic metres of brine graded at 616 milligrams per litre. Newcrest bought the 300,000-oz-per-year Brucejack as part of the Pretium Resources acquisition in March for US$2.8 billion.

Brucejack has proven and probable reserves of 14.4 million tonnes gold grading at 8.3 grams gold per tonne containing 3.9 million oz. The company also estimates 63.8 grams silver per tonne for 29.6 million oz.