Interview Summary: Boosted Gold Recovery at the Madsen Mill In a recent interview on CEO.CA's "Inside The Boardroom," Shane Williams, President, CEO & Director of West Red Lake Gold Mines (Ticker: WRLG.v or WRLGF for US investors), shared insights into the company's recent accomplishments and future plans. The discussion centered around gold recovery at their Madsen Mill and their 2024 work program.
William highlights how WRLG is a fast-track developer with established infrastructure and robust financial backing.
The company acquired the Madsen Gold Project for just pennies on the dollar considering that the project already had $350 million invested into its infrastructure by previous owners, and came with $270M of associated tax losses. WRLG bought Madsen $6.5 million in cash and NSR/contingent payments totaling approximately $30 million.
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Notably, WRLG is backed both financially and strategically by mining investor and billionaire Frank Giustra who has extensive experience in creating large gold mining ventures.
Regarding Giustra's involvement, Williams explained his re-entry into the industry driven by a favorable macroeconomic outlook for gold. Williams and Giustra's partnership leverages Williams' operational acumen with Giustra's capital market proficiency, positioning the company for success in a dynamic gold market.
A significant development discussed was WRLG's cleanup operation at its Madsen Mill. Initial estimates for gold recovery surpassed expectations due to meticulous mill cleaning, uncovering previously inaccessible gold left in the mill. Overall, WRLG estimates that it will recover 2,500 oz of gold in total in the cleanup program.
Looking ahead, Williams outlined the company's ambitious 2024 work program, including geochemical sampling, regional mapping, and a substantial diamond drilling program at the Rowan property, a satellite project to its flagship Madsen Project. These initiatives aim to expand resource potential and optimize production capabilities.
Regarding exploration at Madsen, Williams elaborated on the identification of promising targets like the North and South Austin zones, emphasizing their proximity to existing infrastructure and potential to enhance project economics. Ongoing mining at Madsen is being done to help further the project and validate resource estimates.
Currently the South Austin zone has an Indicated mineral resource of 474,600 ounces grading 8.7 grams per tonne gold and an inferred resource of 31,800 oz grading 8.7 g/t Au.
Some of WRLG's latest key drilling intercepts from this zone include:
- 3.1m @ 21.33 g/t Au, including 0.5m @ 32.74 g/t Au
- 9m @ 6.75 g/t Au, including 0.9m @ 27.91 g/t Au
- and 2.55m @ 6.08 g/t Au, including 1m @ 11.08 g/t Au
Concluding the interview, Williams underscored West Red Lake Gold's competitive edge, citing a seasoned board, experienced management, strong financial backing, and a strategically positioned asset portfolio as key differentiators.
Full interview here:
Posted on behalf of West Red Lake Gold Mines Ltd.