Sandvik has come to an agreement with Barrick regarding the supply of several classifications of equipment for its Pascua-Lama project. Sandvik says: “Barrick’s positive experiences with Sandvik products in the past and the results generated by the proactive relationship between and within the two organizations will benefit both companies. At Pascua-Lama’s 5,200-m altitude all equipment must be able to operate under these low-oxygen and cold conditions – requirements that Sandvik was able to meet across all product categories.

Pascua-Lama is to be an open-pit mine producing gold and silver in the Andes, south of Atacama, straddling the border between Chile and Argentina. Barrick has been planning the project for several years. For nearly 10 years and after a complete extensive community consultation process and a robust review by communities, stakeholders, regulators, etc. Pascua-Lama was approved by COREMA, the regional environment authority, with modifications, in

2006. Barrick plans to invest between $2.8 and $3 billion in the mine to achieve an expected annual output of 750,000-800,000 oz of gold and 35 Moz of silver in the first five years. The company will create 5,500 jobs during the initial construction stage, and will employ approximately 1,600 over the approximate 25 years of operation.

The Sandvik products to be delivered include: three DS410C bolting rigs, two DC302R drill rigs, three DD420-60C jumbos, six LH514 LHDs, four EJC533 dump trucks, three TH540 dump trucks, one DR460 blasthole drill, one D90KS blasthole drill and three CH880 cone crushers.

The underground machines will be used to construct a ramp (1,514 m), crusher cavern and conveyor tunnel (3,940 m) connecting Chile with Argentina. The surface rigs will start the open pit development in parallel with the tunnel development.

Sandvik says it “is determined to complete this order by Q3 2010, and to provide all suitable support on a continuous basis.”