Canadian mining company Gran Colombia Gold has announced a $2 million investment in the department of Caldas, to aid with the relocation of the town of Marmato in order to build an open pit gold mine.
Gran Colombia Gold, the largest underground gold and silver producer in Colombia, said the money will be used to finance projects in El Llano, the site for the new town which is just under a mile away from existing Marmato.
The projects include the second phase of a hospital, an administrative center and other community projects.
Gran Colombia Gold pays royalties of between 0.4% and 4% to the Colombian government.
Maria Consuelo Araujo, president of the company, said they have reached an agreement with 10 of the 15 owners of deeds located in Alto del Burro.
As part of Project Marmato, Gran Colombia Gold is purchasing formal titles from artesinal miners in Alto El Burro. Of the 15 title holders, Gran Colombia Gold has now reached an agreement with 10.
In Chaburquia, Echandia and Cien Pesos there are 76 artesenal mines with 501 miners. The mining company has reached an agreement with 49 of these mines and is in negotiations with the remaining 27.
Under the agreements reached, the artesanal miners can continue working in the mines for a further two years, at which time the company expects to begin its large scale operations.
