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Wesdome Gold Mines Ltd T.WDO

Alternate Symbol(s):  WDOFF

Wesdome Gold Mines Ltd. is a Canadian-focused gold producer with two high grade underground assets, the Eagle River mine in Ontario and the Kiena mine in Quebec. The Company has an exploration program both underground and on the surface within the mine area and more regionally at both the Eagle River and Kiena Complex. The Eagle River Underground Mine is located 50 kilometers west of Wawa, Ontario. The Eagle River underground mine near Wawa, Ontario is producing gold at a rate of 80,000 to 90,000 ounces per year. The Kiena Mine is located in the highly prospective Val d’Or, Quebec gold camp. The Kiena Mine is a fully permitted, integrated mining and milling infrastructure which includes a 930-meter production shaft and 2,000 tons-per-day capacity mill. The Kiena Mine Complex consists of the Kiena Mine concession, Kiena Mill, related infrastructure and equipment and land position in the Township of Dubuisson, Quebec.


TSX:WDO - Post by User

Bullboard Posts
Post by Trappist1on Jun 17, 2013 9:01am
202 Views
Post# 21531808

upgrade mill Eagle River

upgrade mill Eagle River

a new PR on the upgrade of the Eagle River mill

Wesdome let us know that they are fast tracking the necessary mill upgrade.  This is an essential part of unlocking the undervaluation of the Wesdome share.

At this moment, Wesdome is stocking ore of Mishi (up to 85k tonnes) and Eagle River ore (up to 15k tonnes) because the mill can't handle more. They will be holding further Mishi development until the end of the year which should result in a hefty $3.5mio cost saving by years end.

Up until now (2.5months, Mishi produced 1.2k ounces this quarter, matching 1.3k Q1 production).

Focus would be know on the higher Eagle River grades

This PR might not be the easiest one to digest, but the underlying message should be read positive. Focus on the high Eagle River grades resulting in higher production, a temporary $3.5mio cost saving on Mishi and the upgrade on the Eagle River Complex Mill. The latter is key in unlocking Wesdome's potential. Once the Mill would be running in a more optimal way, Eagle River and Mishi would be producing gold at unseen rates and hence produce free cash flow and bottom line profits.

 

Trappist

Bullboard Posts