Lundin GOLD Begins Steps to Resume Operations at Fruta Del Norte
885 West Georgia Street T +1 604 689 7842
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NEWS RELEASE
LUNDIN GOLD BEGINS STEPS TO RESUME OPERATIONS AT
FRUTA DEL NORTE
June 1, 20 20 (Vancouver, Canada) Lundin Gold Inc. ("Lundin Gold" or the "Company")
(TSX: LUG, Nasdaq Stockholm : LUG) is pleased to announce that its first phases for restart
of operations at Fruta del Norte (“Fruta del Norte” or the “Mine”) are well underway. The
Company has shipped all of the concentrate and doré that had been stored at site since the
suspension of operations on March 22, 2020. In addition, reagents , spare parts and other
supplies, that had been accumulating at the port of Guayaquil are being transported to site.
On May 15 , 2020, Ecuador’s n ational government issued COVID-19 protocols that set out
health and safety guidelines for the mining industry in order to enable operations to restart. In
addition, the government established logistics corridors that facilitate transportation for the
mining industry.
“The reestablishment of transportation corridors was an important first step in our plan to restart
operations at the Mine,” said Ron Hochstein, President and CEO of Lundin Gold. “We are in
the last stages of finalizing the restart of our operations, which is expected to occur early in the
third quarter of this year.”
In addition to moving supplies, the other important phase is moving personnel back to site.
The Company has instituted a strict protocol for personnel movement, which includes a seven-
day quarantine period followed by a Polymerase Chain Reaction (PCR) test . Provided the
results are negative, the employee or contractor will be allowed to enter Fruta del Norte. Our
initiatives include increasing the lengths of work rota tions in order to reduce the number of
rotations, implementing regular health controls , social and physical distancing, the use of
personal protective equipment (PPE) when distancing is not possible, disinfection of work
areas and requiring the timely communication of symptoms.
While operations have been suspended, workers at si te have been carrying out several
projects and maintenance work in preparation for the restart of operations. The SAG mill was
relined, maintenance of underground dewatering equipment took place and infrastructure and
mill modifications to improve mill recoveries were implemented. In addition, with the opening
of the logistics corridors, the work of the South Ventilation Raise has begun. The Company
expects to release further details regarding the start of production within the next few weeks.
About Lundin Gold
Lundin Gold, headquartered in Vancouver, Canada, owns the Fruta del Norte gold project in
southeast Ecuador. Fruta del Norte is among the largest and highest -grade gold projects in
the world.
The Company's board and management team have extensive expertise in mine operations
and are dedicated to advancing Fruta del Norte responsibly. The Company operates with
transparency and in accordance with international best practices. Lundin Gold is committed
to delivering value to its shareholders, while simultaneously providing economic and social
benefits to impacted communities, fostering a healthy and safe workplace and minimizing the
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environmental impact. The Company believes that the value created through the development
of Fruta del Norte will benefit its shareholders, the Government and the citizens of Ecuador.
Additional Information
The information in this release is subject to the disclosure requirements of Lundin Gold under
the EU Market Abuse Regulation . This information was publicly communicated on June 1,
2020 at 5:00 a.m. Pacific Time through the contact persons set out below.
For more information, please contact
Lundin Gold Inc.
Ron F. Hochstein
President and CEO
+593 2-299-6400
+1-604-806-3589
Lundin Gold Inc.
Sabina Srubiski
Manager, Investor Relations
+1-604-806-3089
www.lundingold.com
Follow Lundin Gold on Twitter
Caution Regarding Forward-Looking Information and Statements
Certain of the information and statements in this press release are considered "forward -looking
information" or "forward-looking statements" as those terms are defined under Canadian securities laws
(collectively referred to as "forward -looking statements"). Any statements that express or involve
discussions with respect to predictions, expectations, beliefs, plans, projections, objectives,
assumptions or future events or performance (often, but not always, identified by words or phrases such
as "believes", "anticipates", "expects", "is expected", "scheduled", "estimates", "pending", "intends",
"plans", "forecasts", "targets", or "hopes", or variations of such words and phrases or statements that
certain actions, events or results "may", "could", "would", "will", "should" "might", "will be taken", or
"occur" and similar expressions) are not statements of historical fact and may be forward -looking
statements.
By their nature, forward -looking statements and informat ion involve assumptions, inherent risks and
uncertainties, many of which are difficult to predict, and are usually beyond the control of management,
that could cause actual results to be materially different from those expressed by these forward-looking
statements and information. Lundin Gold believes that the expectations reflected in this forward-looking
information are reasonable, but no assurance can be given that these expectations will prove to be
correct. Forward-looking information should not be unduly relied upon. This information speaks only as
of the date of this press release, and the Company will not necessarily update this information, unless
required to do so by securities laws.
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This press release contains forward -looking information in a number of places, such as in statements
relating to the restart of operations, efforts to protect its workforce from COVID -19 and its plans to
announce the restart of operations and estimates of 2020 production. There can be no assurance that
such statements will prove to be accurate, as Lundin Gold's actual results and future events could differ
materially from those anticipated in this forward-looking information as a result of the factors discussed
in the "Risk Factors" section in Lundin Gold's Annual Information Form dated March 24, 2020, which is
available at www.lundingold.com or on SEDAR.
Lundin Gold's actual results could differ materially from those anticipated. Factors that could cause
actual results to differ materially from any forward-looking statement or that could have a material impact
on the Company or the trading price of its shares include: risks relating to the impacts of a pandemic
virus outbreak; risks associated with the Company's community relationships; risks related to financing
requirements; failure by the Company to maintain its obligations under its credit facilities; operating risks;
risks associated with the ramp up of mining operations; risks related to political and economic instability
in Ecuador ; risks related to production estimates ; risks related to Lundin Gold’s compliance with
environmental laws and liability for environmental contamination; volatility in the price of gold; shortages
of critical supplies; lack of availability of infrastructure; deficient or vulnerable title to mining concessions;
easements and surface rights; risks related to the Company’s workforce and its labour relations; inherent
safety hazards and risk to the health and safety of the Company’s employees and contractors ; risks
related to the Company’s ability to obtain, maintain or renew regulatory approvals, permits and licenses;
the imprecision of mineral reserve and resource estimates ; key talent recruitment and retention of key
personnel; volatility in the market price of the Company’s shares ; the potential influence of the
Company's largest shareholders ; uncertainty with the tax regime in Ecuador ; measures to protect
endangered species and critical habitats; the cost of non-compliance and compliance costs; exploration
and development risks ; the Company's reliance on one project ; risks related to illegal mining ; t he
reliance of the Company on its information systems and the risk of cyber-attacks on those systems; the
adequacy of the Company’s insurance; uncertainty as to reclamation and decommissioning; the ability
of Lundin Gold to ensure compliance with anti-bribery and anti-corruption laws; the uncertainty regarding
risks posed by climate change ; the potential for litigation ; limits of disclosure and internal controls ;
security risks to the Company; its assets and its personnel; conflicts of interest; the risk that the Company
will not declare dividends; and social media and the Company’s reputation.