The Tuvatu gold mine in Sabeto, near Nadi, is on the verge of significant expansion, with expectations to eventually outpace production from Fiji’s oldest gold mine, Vatukoula, according to its Canadian owner, Lion One Metals Ltd. In a recent interview, Walter Berukoff, the company’s founder and president, conveyed his optimism about the mine’s potential, highlighting a newly forged partnership with Arete Capital Advisors designed to bolster operational capacity.
Berukoff stated with certainty that Tuvatu is set to eclipse Vatukoula, which has been operational for over 90 years, suggesting that Tuvatu could enjoy a similarly lengthy productive lifespan. The current upswing in gold prices, which have recently reached record highs, positions Fiji advantageously within the global gold industry. With prices hitting USD 5,500 per ounce last week, Berukoff underscored the promising profitability for smaller enterprises like Lion One.
The investment in Tuvatu currently stands at approximately CAD 300 million (FJD 500 million). Berukoff acknowledged the substantial financial commitment needed to ensure the mine’s sustainable operations. The rising gold prices enhance the mine’s profitability forecasts, offering an optimistic outlook for future earnings as the market continues to climb.
The collaboration with Arete Capital is viewed as a strategic advantage. Renowned for revitalizing older and abandoned mines, Arete is committing CAD 15 million and acquiring a 9.9 percent stake in Lion One, aiming to enhance the mine’s infrastructure. Under the guidance of Arete’s CEO Campbell Olsen, the plan is to modernize operations and increase production capacity from current levels to a target of processing 600 to 700 tonnes of ore daily, a move that could dramatically boost annual gold output.
Berukoff regards this partnership with Arete as a watershed moment for Lion One, providing the essential expertise needed to elevate Tuvatu into a significant player in the gold production arena. As developments unfold, the prospects for Tuvatu and Fiji’s gold mining sector paint a hopeful picture of unprecedented growth and opportunity in the industry.