The Chatree mining complex on Thursday sank its first gold and silver alloy ingot, a victory for its Australian operator, Kingsgate, which falls in full surge in the price of the precious metal.

On the markets, the ounce of gold exceeded $ 2,000 for the first time in a year.

After a seven-year hiatus, the resumption of activity offers employment prospects for part of the population in the poor provinces of Pitchit, Phetchabun and Phitsalunok, in rural northern Thailand.

They scored a rare victory in 2016 when the then-ruling junta ordered the closure of Chatree as a precaution, following accusations of soil pollution linked to gold mining.

The government reversed its decision, under threat of hundreds of millions of dollars in compensation that Kingsgate is seeking in an arbitration court.

Since its launch in November 2001, more than 50 tons of gold have been extracted from the complex, and nearly 2,500 tons of silver.

Akara Resources, Kingsgate's Thai subsidiary, swears it has learned from its mistakes.

Molten gold flows into bars at the Chatree mining complex on March 23, 2022 in Hichit, Thailand © Lillian SUWANRUMPHA / AFP

"We can grow and employ more people. There are more opportunities to help local communities," Rob Kinnaird, an official at Akara Resources, told AFP.

The company could triple its workforce in the coming years, to 700 employees, compared to 280 today - slightly less than before its closure (1,000 people).

While many in nearby communities hope to benefit economically from the reopening of the mine, others are concerned about the noise caused by blasting, or dust.

"The explosions are so loud that the earth will shake," said Dao Seehawatr, 59. "For people living near the mine like me, I would like to be relocated first."

Gold mining is also associated with polluting chemicals used to separate valuable minerals from rock.

High levels of heavy metals, including arsenic, manganese or cyanide, detected in the blood of local residents had fueled protests around the site more than a decade ago.

The Chatree mining complex, March 22, 2023 in Phichit, Thailand © Lillian SUWANRUMPHA / AFP

The operator denies any responsibility and promises to listen to the concerns of the inhabitants.

© 2023 AFP