RE: RE: RE: How come? Hey Terrypquinn...
You make a very good point...there has been little talk about the past producing Stock Mine which has existing Underground workings located right next to the processing Mill @ 2,000 t.p.d. located in Stock Township.
I am familar with the operation, there have been a number of attempts in the past to bring it back into production...future exploration might provide an economical resource...money well spent!
As for the 200,000 ozs. production target by 2015, I believe the majority of the increase involves the Goldfields Mine:
| Stage of Project | Box Deposit: Feasibility Stage
Athona Deposit: Pre-Feasibility Stage |
| Ownership | 100% owned and operated by Brigus Gold |
| Land Position | Goldfields Property = 25,685 hectares
|
Introduction
The Goldfields Project currently consists of two gold deposits - the Box the Athona deposits. The project was acquired in May 2009 by a predecessor company of Brigus Gold and named after the historic mining town of Goldfields that was located between the Box and Athona areas.
The Box and Athona deposits are open at depth with potential for resource additions to either extend the projected 13 year mine life or increase annual production rates. The development of a proposed Box Mine is subject to final mine engineering design and a final production decision by the Company.
Highlights
- Proposed annual gold production of 100,000 ounces over the first seven years with an average cash operating cost of $601 per ounce.
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Net present value (NPV) of $144.3 million at a 5% discount rate with an internal rate of return (IRR) of 19.6% and a payback period of five years, assuming a gold price of $1,250 per ounce.
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At $1,500 per ounce of gold, the NPV for the project increases to $300 million with an IRR of 32%.
- Exploration upside with potential resource additions below both deposits and from several drill-ready targets on the extensive property.
- Potential to increase known estimated reserves and resources to extend projected mine life or to increase production.
- Good infrastructure in a mining-friendly province
Management has put the Goldfields Project on the "back burner" in order that they can concentrate on their flagship Black Fox Mine and future Grey Fox Mine...this may push back any previous set targets.
Regards,
Digger144
P.S. Factoring in the 100,000 for the Goldfields Project it firmly supports my view that the Grey Fox Mine will replace production not increase production....we must wait for the PEA to get confirmation.
Love your passion for Brigus!