Goldcorp (TSX:G) was forced to evacuate more than 300 workers from its Musselwhite mine last week, as a forest fire raged across northwestern Ontario.
The Vancouver-based company said Thursday prevailing winds were pushing the fire toward the mine site, and that its primary source of power had been cut off.
Jeff Wilhoit, a spokesman for the gold giant, said firefighters had ignited a controlled burn near the eastern portion of the fire on Friday to remove fuel for the fire and slow its advance.
Hydro crews were also expected to restore power to the site on the weekend, Wilhoit said, though generators on site are generating some electricity.
Wilhoit said he expects the fire to keep the mine down for at least a week.
“We’re prepared for the worst, but even in that situation we don’t anticipate there being significant damage to infrastructure,” he said, adding that no one had been injured.
Musselwhite is a fly-in/fly-out camp located 480 kilometres north of Thunder Bay, and is one of three mines the company operates in Canada.
Wilhoit said the mine is expected to produce some 265,000 ounces of gold this year.
“I don’t see any reason to change that guidance,” answered Wilhoit when asked if the fire could affect Musselwhite’s production rates.
At press time, Goldcorp’s shares were valued at $51.59.
Joel McKay
Twitter:jmckaybiv